Dive Brief:
- The Securities and Exchange Commission has accepted updates to the Financial Accounting Standards Board's GAAP Financial Reporting Taxonomy and SEC Reporting Taxonomy, FASB has announced.
- This year's GAAP Taxonomy contains updates on amendments to accounting standards and other recommended changes to several topics and disclosure issues, including credit losses, balance sheet offsetting, pledging and recourse, and deprecations from superseded guidance.
- Each year, FASB updates and provides the SEC the taxonomies, which companies use in their financial reporting.
Dive Insight:
The updated taxonomies and their related release notes are available online, FASB said, at 2022 GRT for the 2022 GAAP Financial Reporting Taxonomy, and 2022 SRT, for the 2022 SEC Reporting Taxonomy.
The annual process updates the categorization of financial terms and their definitions that financial executives must use under the SEC-required Extensible Business Reporting Language (XBRL) data-tagging format.
Questions about their use and creating and submitting XBRL-tagged interactive data files in compliance with SEC rules should be directed to the SEC, at the SEC's XBRL portal.
FASB is hosting a live webcast on the updates for staff who prepare their companies' financial reports. The webcast is Tuesday, April 5, 1 -2:30 p.m., ET. Attendees can earn up to 1.8 hours of CPE credit. Registration link.
FASB also finalized its 2022 DQC Rules Taxonomy, which concerns the quality of XBRL data validation rules.
The standards-based XBRL method of sharing business information between systems enables public companies to tag data in their financial reports and increase transparency and accessibility.
