In May 2020, the SEC adopted amendments to its rules related to the disclosure of financial information about acquired or disposed businesses, including real estate operations. KPMG’s Defining Issues summarized the amendments, which included changes to the significance tests as well as the amount of information required to be disclosed. This report outlines the remarks recently made by the SEC staff intended to answer questions they have received about applying the amendments to these rules.
Release No. 33-10786; 34-88914; IC-33872; File No. S7-05-19
- Public companies, including foreign private issuers, registered investment companies and business development companies
- Effective January 1, 2021; early adoption is permitted.
- Significance tests
- Omissions of financial statements
- Abbreviated financial statements
- Financial statements of real estate operations subject to triple net lease
- Pro forma financial statements
- Effective date guidance