Senior Director, Dept. of Professional Practice, KPMG US
KPMG reports on major accounting and financial reporting developments that could affect companies in the current period and near term. This quarter’s publication features recent SEC headlines, FASB developments and accounting standards effective in 2021.
For Q1 2021:
Companies must continue to acknowledge the evolving impacts of COVID-19 and any related economic aid or accounting relief on their financial reporting and in their communications to users.
Public companies were required to adopt only a few narrow-scope standards.
Private companies will adopt new guidance on hedge accounting, cloud computing costs, variable interest entities and more in 2021.
Meanwhile, the SEC and FASB have been actively addressing their respective agendas. Recent headlines include the renewed focus at the SEC on climate-related disclosures and new FASB standards that provide accounting relief to certain private companies.