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Accounting & Audit Alert January 2014


RubinBrown's Accounting & Auditing Alert is published monthly to inform our clients and contacts about relevant technical accounting and audit-related information.

GASB Issues Statement No. 71 To Address Issue Caused By Statement No. 68

The Governmental Accounting Standards Board (GASB) has issued GASB Statement No. 71, Pension Transition for Contributions Made Subsequent to the Measurement Date. Statement No. 71 addresses an issue regarding the application of the transition provisions of GASB Statement No. 68, Accounting and Financial Reporting for Pensions.

Under Statement No. 68, state and local government employers will be required to recognize the underfunded status of defined benefit pension plans as a net pension liability. Statement No. 68 will be effective for fiscal years beginning after June 15, 2014.

FASB Provides Final Approval Of Two Private Company GAAP Exceptions

The Financial Accounting Standards Board has voted to endorse two recent decisions reached by the Private Company Council related to the accounting for goodwill and interest rate swaps.

These two decisions will incorporate into U.S. generally accepted accounting principles, alternative accounting treatments for private companies, should they choose to elect them. The final text of the standards is expected to be released shortly.

PCAOB Reproposes Amendments To Require Disclosure Of The Engagement Partner And Certain Participants In The Audit

During December 2013, the Public Company Accounting Oversight Board ("PCAOB" or the “Board”) reproposed for public comment amendments to the PCAOB’s auditing standards that would provide greater transparency into audits of public companies, brokers, and dealers about the engagement partner and certain other participants in the audit.

The reproposed amendments follow up the PCAOB’s October 2011 proposal and July 2009 Concept Release.


Readers should not act upon information presented without individual professional consultation.