Please ensure Javascript is enabled for purposes of website accessibility
January 28, 2023

AICPA Practically Begging the Financial Accounting Foundation to Develop Private Company GAAP

Were you aware that over 2,500 letters have been sent to the Financial Accounting Foundation “demanding” the development of private company GAAP as well as a separate independent board to oversee the standards? If no, why not? If yes, why aren’t you feigning rage, issuing press releases with impatient statements by various bigwigs? If you’re the AICPA, that’s exactly what you’re doing:

For almost 40 years, the pleas of private companies to set standards for financial reporting that are more relevant too often have been ignored. The American Institute of Certified Public Accountants (AICPA) believes that it is time for the Financial Accounting Foundation (FAF) to listen to the constituents who have written to FAF demanding differential financial reporting standards for private companies and a separate independent board to oversee those standards. There are approximately 28 million privately held U.S. companies, accounting for more than 50 percent of our economy.

“Ninety nine percent of the letters from the privately held company constituency demanded that the Financial Accounting Foundation create differential standards for privately held companies,” said Barry Melancon, AICPA president and CEO. “We’ve studied this problem for far too long.”

Pick up the pace, FAF. People are getting antsy.

[via AICPA]

Were you aware that over 2,500 letters have been sent to the Financial Accounting Foundation “demanding” the development of private company GAAP as well as a separate independent board to oversee the standards? If no, why not? If yes, why aren’t you feigning rage, issuing press releases with impatient statements by various bigwigs? If you’re the AICPA, that’s exactly what you’re doing:

For almost 40 years, the pleas of private companies to set standards for financial reporting that are more relevant too often have been ignored. The American Institute of Certified Public Accountants (AICPA) believes that it is time for the Financial Accounting Foundation (FAF) to listen to the constituents who have written to FAF demanding differential financial reporting standards for private companies and a separate independent board to oversee those standards. There are approximately 28 million privately held U.S. companies, accounting for more than 50 percent of our economy.

“Ninety nine percent of the letters from the privately held company constituency demanded that the Financial Accounting Foundation create differential standards for privately held companies,” said Barry Melancon, AICPA president and CEO. “We’ve studied this problem for far too long.”

Pick up the pace, FAF. People are getting antsy.

[via AICPA]

Latest Accounting Jobs--Apply Now:

Have something to add to this story? Give us a shout by email, Twitter, or text/call the tipline at 202-505-8885. As always, all tips are anonymous.

Related articles

cat in a fishbowl with money

Friday Footnotes: Higher Salaries Lead to Higher Fees; EY Auditors Quit; Senator Rags on Greedy Accounting Firms | 1.27.23

Big 4 EY auditors escape potential Wirecard sanctions after leaving profession [Financial Times] Germany‚Äôs audit watchdog closed investigations against four current and former EY auditors involved in inspecting collapsed payments firm Wirecard after they handed back their professional licences and left the profession earlier this month. Under German law, Apas can only probe and sanction […]

scissors

EY Germany Gives 40 Partners and 380 Staff the Boot to Boost Profitability After That Whole Wirecard Thing

EY has been tightening the purse strings over the past several months ahead of the big Project Everest split, the vote on which remains delayed and should happen before the end of this quarter. The firm did not hand out mid-year bonuses in December and sources say that travel, training, and even hiring are on […]