On November 6, 2013, the Financial Accounting Standards Board (FASB) voted to move forward with preparing a final standard on revenue recognition. The final standard is expected to be issued during the first quarter of 2014.
The vote authorizes the FASB staff to prepare and issue a ballot draft of the standard. The ballot draft will be submitted to the FASB for final approval. Once approved, the final standard will be published as part of the FASB Accounting Standards Codification.
The International Accounting Standards Board (IASB) will hold its vote to confirm balloting of the standard later this month.
The final Revenue Recognition standard is expected to take effect for public companies in 2017, and for private companies in 2018.
IMA's technical committees has monitored the status with development of guidance for Revenue Recognition since inception along with other issues addressed by the FASB and the IASB under the Convergence Project. Comment letters submitted by IMA's technical committees about issues addressed under the Convergence Project can be found at www.imanet.org/about_ima/advocacy_activity.aspx.