PwC's accounting weekly news: January 15, 2021

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This week we’re all about helping you close out 2020. We’ve refreshed our FAQs on accounting for the impact of COVID-19. And we’ve updated our FAQs on the CARES Act for the impact of the December stimulus package, with a separate publication on the related tax extensions. Our podcast on CECL disclosures shares insights that may help you improve your year-end disclosures.

CECL disclosures: Year-end reminders

After looking at CECL disclosures from the first three quarters of 2020, we’ve noted some clear trends. In this timely episode, host Heather Horn is joined by Chip Currie and Jonathan Odom, two PwC National Office partners, to discuss CECL disclosures and share important reminders as calendar year-end companies dive into their year-end reporting cycle.

For a deeper dive on the required CECL disclosures, read chapter 12 of our Loans and investments guide.

What’s next? Forecast 2021: Emerging tech blends mind + machine in finance

Welcome to our third season of our What’s next? podcast series: Forecast 2021. We’re focused on preparing you for the year ahead—think policy, technology, and other big picture topics. In this episode, hear Scott Likens, PwC’s New Services and Emerging Technology Leader, discuss the eight emerging technologies that every company must consider right now and how finance executives can use these technologies to make better decisions.

Updated: FAQs on accounting for COVID-19 and the CARES Act 

Our In depth answers specific questions about a range of accounting topics that may be impacted by the pandemic and the economic environment. In this refreshed version, we reorganized the document, updated questions related to stock-based compensation and taxes, and added new FAQs related to lease concessions and the impairment of right-of-use assets. And if you missed it last week, listen to our informative podcast discussing key year-end accounting and reporting considerations related to the impacts of COVID-19.

We have also refreshed our FAQs on the CARES Act, which has been updated for the impact of the December stimulus package.

Year-end bill includes COVID19 economic relief and tax extenders

Businesses and individuals should review how they may benefit from the COVID-19 relief measures and tax extender provisions being enacted as part of the year-end government funding package.

Trending content in December

Among our most popular content in December are resources for year-end reporting and planning for the new year:

Update segment reporting to reflect business strategy

Reimagining or accelerating your business strategy? Help stakeholders understand its impact through segment reporting.

Here’s what we’re following

Effective date established for SEC amendments to Regulation S-K (including MD&A)

The SEC’s amendments to Regulation S-K intended to modernize, simplify, and enhance Management’s Discussion and Analysis (MD&A), streamline supplementary financial information, and eliminate the requirement to provide certain selected financial data were posted to the Federal Register on January 11, establishing an effective date of February 10. The changes will impact many SEC filings, including Forms 10-K, 10-Q, 20-F, and 40-F and many registration statements.

As with any change in administration, however, there is the possibility that the Biden administration could postpone the effective date of these amendments. The rules are required to be applied beginning with the first fiscal year ending on or after August 9, 2021. Barring federal action, the amended rules can be early adopted at any time after the effective date (on an item-by-item basis), as long as the disclosures are responsive to an amended item in its entirety.

Read our In depth, SEC amends MD&A and eliminates selected financial data, for details about the amendments.

Contact us

Heather Horn

Heather Horn

US Strategic Thought Leader, National Professional Services Group, PwC US

David Schmid

David Schmid

International Accounting Leader, National Professional Services Group, PwC US