The American Bankers Association this week called on the Financial Accounting Standards Board to prioritize projects to improve accounting for troubled debt restructurings and simplify the subsequent accounting for goodwill. The association noted that “prioritizing [the TDR accounting project]will likely provide timely operational relief to lenders while reducing confusion among investors and maintaining quality disclosure,” while the goodwill project “will likely provide operational relief to many companies.”
ABA also recommended that FASB add several additional projects to its agenda. These include: expanding the tax credit investments that qualify for accounting; changing software development expense recognition criteria to better align with current software development processes; conducting a post-implementation review of recent changes to rules regarding recognition and measurement of financial assets and liabilities; addressing issues related to the recognition and timing of impairment when a company stops using a leased asset in its primary business activities; and reconsidering the accounting for crypto assets.
