This site uses cookies to provide you with a more responsive and personalised service. By using this site you agree to our use of cookies. Please read our cookie notice for more information on the cookies we use and how to delete or block them.
The full functionality of our site is not supported on your browser version, or you may have 'compatibility mode' selected. Please turn off compatibility mode, upgrade your browser to at least Internet Explorer 9, or try using another browser such as Google Chrome or Mozilla Firefox.

U.S. comment letter on cloud computing arrangement fees

Published on: Nov 19, 2014

Deloitte & Touche LLP comments on the proposed Accounting Standards Update, Customer's Accounting for Fees Paid in a Cloud Computing Arrangement, issued by the FASB on August 20, 2014.

An excerpt from the comment letter is shown below:

We support the Board’s efforts to quickly make improvements to areas of U.S. GAAP that are unnecessarily complex and costly as part of its simplification initiative. With respect to a customer’s accounting for a cloud computing arrangement, we agree with the proposed criteria for distinguishing a service contract from the purchase of a license. However, as noted in our responses to the proposed ASU’s questions for respondents (see appendix below), we believe that the Board could further simplify and clarify certain aspects of this project without dramatically increasing its scope.

Full text of the comment letter is available below.


Correction list for hyphenation

These words serve as exceptions. Once entered, they are only hyphenated at the specified hyphenation points. Each word should be on a separate line.