Read our insights

If you are looking for alternatives to expand your current operations or investment opportunities, now is the time to bring Puerto Rico at the front and center. The benefits of establishing, relocating or expanding businesses in Puerto Rico are, without a doubt, attractive and rarely surpassed by any other jurisdiction.

The Office of Management and Budget (OMB) issued the 2022 Compliance Supplement – 2 CFR Part 200, Appendix XI (2022 Supplement) for single audit engagements. Unlike the prior two years, the 2022 Supplement is not expected to include addenda; if new programs are established, they will be included in the 2023 Compliance Supplement.

The Auditing Standards Board of the American Institute of Certified Public Accountants (AICPA) issued Statement on Auditing Standards (SAS) No. 136, Forming an Opinion and Reporting on Financial Statements of Employee Benefit Plans Subject to ERISA, (SAS No. 136, as amended) for auditors who perform audits of financial statements of employee benefit plans subject to the Employee Retirement Income Security Act of 1974 (ERISA).

In response to feedback received as part of its post-implementation review of ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (referred to as the current expected credit loss (CECL) standard), the FASB recently issued ASU 2022-02, which eliminates the accounting guidance for troubled debt restructurings (TDRs) by creditors in ASC 310-40, Receivables – Troubled Debt Restructurings by Creditors, while enhancing disclosure requirements for restructurings involving borrowers that are experiencing financial difficulty.

Accounting pronouncements issued as of March 31, 2022.

In July 2019, the AICPA’s Auditing Standards Board published Statement on Auditing Standards 136, Forming an Opinion and Reporting on Financial Statements of Employee Benefit Plans Subject to ERISA, which was originally effective for audits of financial statements issued by employee benefit plans subject to ERISA of 1974 for periods ending on or after Dec. 15, 2020.

The FASB recently issued ASU 2021-09, Leases (Topic 842): Discount Rate for Lessees That Are Not Public Business Entities, which allows lessees that are not public business entities to apply the existing risk-free discount rate expedient by class of underlying asset rather than to all leases.

The FASB recently issued ASU 2021-10, Government Assistance (Topic 832): Disclosures by Business Entities about Government Assistance, which aims to provide increased transparency by requiring business entities to disclose information about certain types of government assistance they receive in the notes to the financial statements. ASU 2021-10 also adds a new Topic—ASC 832, Government Assistance—to the FASB’s Codification.

The amendments in ASU 2021-07 offer nonpublic entities a practical expedient to use when determining the “current price input” of an equity-classified sharebased payment award issued to employees and nonemployees. The current price input is used when calculating the award’s fair value.

This publication summarizes the effective dates of FASB Accounting Standards Updates that are not yet effective for all entities.

The Financial Accounting Standards Board recently issued ASU 2021-05 to amend ASC 842 so that lessors are no longer required to recognize a selling loss upon commencement of a lease with variable lease payments that, prior to the amendments, would have been classified as a sales-type or direct financing lease.

Under the guidance in ASC 805, an entity applies the acquisition method of accounting when it acquires a business or a not-for-profit activity.

On June 3, 2020, the FASB issued Accounting Standards Update 2020-05, Effective Dates for Certain Entities, to defer for certain entities the effective dates for the revenue and leasing standards.

This article reviews the amendments in ASU 2021-03, Accounting alternative for evaluating triggering events that allow private and not for profit entities to elect not to monitor for goodwill impairment triggering events during the reporting period and instead to perform their evaluation only as of the end of the reporting period.

In this article we review the COVID – 19 related loan restructuring by creditors interaction between the interagency statement and section 4013 if the CARES Act.

In this article we review the practical expedient provided by FASB for initial franchise fees.