Improvements to the accounting for employee share-based payments
The FASB discussed feedback received on its proposed Accounting Standards Update (ASU) Improvements to Employee Share-Based Payment Accounting. As indicated in the tentative Board decisions, the FASB affirmed its proposed amendments related to:
- “Accounting for income taxes upon vesting or settlement of awards.
- Presentation of excess tax benefits on the statement of cash flows.
- Accounting for forfeitures.
- Minimum statutory withholding requirements.
- Presentation of employee taxes paid on the statement of cash flows when an employer withholds shares to meet minimum statutory withholding requirements.
- Private company practical expedients.
- Expected term
- Intrinsic value.”
In addition, the FASB made tentative decisions related to the transition method, disclosures in the adoption period, disclosures about accounting for forfeitures, and the effective date of the final standard. The FASB directed its staff to draft an ASU for vote by written ballot.
For more information, see the tentative Board decisions on the FASB’s Web site.
Financial instruments — impairment
The FASB discussed feedback received on its proposed ASU Financial Instruments — Credit Losses. No technical decisions were made during this session.
Clarifying the definition of a business
The FASB discussed the scope of ASC 610-20, in-substance nonfinancial assets, and the accounting for partial sales. No decisions were made during this session.