Accounting & Auditing Highlights for the Week Ending March 30, 2018


Accounting Highlights: 

Tax Reform

March 27: Joe Sebik is a CPA who has worked in the equipment finance industry for several decades details changes to equipment financing under the Tax Cuts and Jobs Act. Read his insights here. (Subscription required.)

March 28: Professional service businesses are weighing the possibility of spinning off administrative or other back-office units of their pass-through businesses to qualify for a 20 percent deduction under the new tax law. Click here to read the full story. (Subscription required.)

Digital Currency

March 28: Is bitcoin a currency, a commodity, or a financial asset? It depends which regulator you ask, and the conflicting answers have some calling for global standards as the OECD studies how to tax virtual currency. Click here to read the full story. (Subscription required.)

Revenue Recognition

March 28: Energy storage firm Maxwell Technologies Inc. will pay over $2.8 million to settle SEC allegations of fraudulent revenue recognition. Click here to read the full story. (Subscription required.)

March 29: Up to 25 percent of the largest companies in the U.S. could report significant changes on their financial statements as they apply new revenue recognition rules this spring. Click here to read the full story. (Subscription required.)

Lease accounting

March 26: Moody's Investors Service plans to update how lease obligations factor into its credit ratings as public companies prepare to include those costs for the first time on their balance sheets next year under new accounting rules. Click here to read the full story. (Subscription required.)

March 29: Real estate investment trusts will have choices next year about how they report rental income from offices and apartments. Click here to read the full story. (Subscription required)

Securities and Exchange Commission

March 27: Few companies are likely to use an exemption that many sought when the SEC put the final touches on its rule requiring disclosure of the gap between CEO and median worker compensation. Click here to read the full story. (Subscription required.)

March 27: An apparent win for corporate America in the U.S. Supreme Court's recent decision that an employer can fire whistleblowers who don't report their suspicions to the SEC might turn out to be a “big loss,” according to the lawyer who first ran the agency's whistleblower office. Click here to read the full story. (Subscription required.)

Hiring practices

March 26: To hire a more diverse workforce, tax and accounting companies should first look at diversifying their managers who make hiring decisions. Click here to read the full story. (Subscription required.)

International Accounting Highlights:

Banking

March 28: The Nordic region's only global systemically important bank, Nordea Bank AB, will start pricing debt products to reflect threats to data as the scandal engulfing Facebook Inc. redefines corporate risk. Click here to read the full story. (Subscription required.)

Auditing

March 26: Steinhoff International Holdings NV, the retailer that's wiped out more than $12 billion of value since an accounting scandal exploded in December, plans to reward directors for having to do more work than usual. Click here to read the full story. (Subscription required.)

March 27: The European Central Bank alerted auditors that lenders could try to take advantage of the transition to new accounting standards to spread the hit on loan losses over years instead of reflecting them in their 2017 financial results, three people familiar with the matter said. Click here to read the full story. (Subscription required.)

Slovakia

March 29: Cryptocurrency income must be taxed, the Slovak Ministry of Finance announced, just days ahead of the April 3 filing deadline. Click here to read the full story. (Subscription required.)

South Africa

March 26: South Africa's Independent Regulatory Board for Auditors accused two of Deloitte & Touche's auditors of improper conduct ahead of the collapse of African Bank Investments Ltd. and its lending unit in 2014. Click here to read the full story. (Subscription required.)

Ukraine

March 30: The Ukrainian National Bank gave the country's companies more time to avoid penalties on financial instruments reporting violations. Read the full story here. (Subscription required.)

Composed and compiled by Amanda Iacone, accounting reporter for Bloomberg Tax.

Rely on expert practitioners for practical guidance and real-world approaches to complex accounting issues with Bloomberg BNA’s Financial Accounting Resource CenterTake a free trial today.