FASB Activities Related to IASB Projects
As part of its convergence efforts, the FASB makes it a priority to follow all of the technical activities at the IASB. The level of interest that the FASB has in each IASB project or research effort varies, and this is reflected in the way in which we monitor or are otherwise involved with IASB’s activities, as described below.
Monitored by way of Liaison Board Member
For IASB projects in which the FASB has limited interest and that have little or no significance from a convergence standpoint, the FASB relies on the IASB Liaison Board member to keep the Board and staff apprised of project activities. Those projects follow:
- Convergence—postemployment benefits
- Extractive activities
Active Projects
Monitored by FASB Staff
For IASB projects that are not currently on the FASB’s agenda but are important to the FASB, a member of the FASB staff is assigned to monitor the project and to keep the Board apprised of project activities. Responsibilities of staff monitors include reading project related materials and providing feedback to the IASB. These projects are deemed important to the FASB because they (1) have potentially significant implications for existing or future convergence of IASB and FASB standards, (2) relate to a topic for which there are no U.S. standards or the quality of U.S. standards is less than optimal, or (3) cover issues that are fundamental and pervasive to the financial reporting model. Those projects follow:
- Accounting standards for small and medium-sized entities
- Amendments to IAS 39
- Consolidations (including special purpose entities)
- Disclosure of risks arising from and other disclosures relating to financial instruments
- Insurance contracts, Phase II
- Issues Related to IFRS3
Active Projects
- Accounting measurement
- Accounting for financial instruments
- Accounting for leases
- Joint ventures
Research Topics
Joint Projects
Projects in which the IASB and the FASB work together as a team to create a similar, high-quality standard are referred to as joint projects. For these projects, the Boards share research and Board papers and strive to discuss the same issues at closely-timed Board meetings. Those projects follow:
- Business combinations, Phase II (application of the purchase method)
- Liabilities and revenue recognition
- Short-term convergence
- Reporting comprehensive income (Financial Performance Reporting)
Active Projects