FASB looks for feedback on accounting for intangible assets and goodwill

The Financial Accounting Standards Board has issued an Invitation to Comment document asking for input from its constituents on the accounting for certain identifiable intangible assets acquired in a business combination and the subsequent accounting for goodwill.

While private companies and nonprofit organizations currently have some accounting alternatives on this topic, public companies do not. FASB did some preliminary outreach with its public company stakeholders and heard some mixed feedback on whether the usefulness of the information currently being provided justifies the cost. This prompted FASB’s staff to seek further input from a broader base of constituents to provide information for the board’s future deliberations.

After receiving the comments, FASB plans to host a formal roundtable (at a to-be-determined date) to supplement the feedback it receives. The Invitation to Comment and a brief video on the topic are available on FASB's website.

FASB is asking for comments by Oct. 7, 2019.

Courtesy of GASB