Yesterday, the FASB issued ASU 2010-08, which makes minor amendments to various ASC Topics to eliminate inconsistencies and outdated guidance and provide clarification to make the “Codification easier to understand and apply.”

Most of the amendments are not expected to change current practice, however the FASB notes that certain changes made to ASC 815-15, Derivatives and Hedging — Embedded Derivatives “may cause a change in the application of that Subtopic and, thus, special transition provisions are provided for accounting changes related to that Subtopic.” The amendments to Subtopic 815-15 are effective for fiscal years beginning after December 15, 2009.

In addition, the amendments to the guidance in ASC 852-740, Reorganizations — Income Taxes, apply “to reorganizations for which the date of the reorganization is on or after the beginning of the first annual reporting period beginning on or after December 15, 2008” and requires retrospective application to reorganizations that occurred in interim financial statements from the effective date to the issuance date of this ASU. All other amendments included in this ASU are effective as of the first reporting period (interim or annual) after the ASU’s issuance (February 2, 2010).