Proposal Intended to Assist Preparers in Applying Guidance
NORWALK, Conn.--(Business Wire)--
The Governmental Accounting Standards Board (GASB) is seeking
comments on two new Exposure Drafts that set forth proposals to
transfer accounting and financial reporting guidance currently
contained in the American Institute of Certified Public Accountants
(AICPA) auditing literature into the GASB's accounting and financial
reporting literature for state and local governments. The proposals
are intended to make it easier for preparers of state and local
government financial statements to identify and apply guidance on
related party transactions, going concern considerations, subsequent
events, and the generally accepted accounting principles (GAAP)
hierarchy for state and local governments.
As proposed in the Exposure Drafts--Codification of Accounting and
Financial Reporting Guidance Contained in the AICPA Statements on
Auditing Standards and The Hierarchy of Generally Accepted Accounting
Principles for State and Local Governments--the relevant parts of the
AICPA's Statements on Auditing Standards (SASs) would be moved to the
GASB literature without substantive changes, although some editing has
been proposed to make the guidance specific to state and local
governments. Because the GASB chose not to reconsider the guidance
provided in the SASs, the accounting and financial reporting guidance
would remain unchanged in practice.
"Until now, preparers of state and local government financial
statements have had to look to the auditing literature to find
accounting and financial reporting guidance on these issues," said
Robert H. Attmore, GASB chairman. "Our proposals would make it easier
for preparers of financial statements to locate and apply this
important guidance."
The Exposure Drafts can be downloaded free from the GASB website
at www.gasb.org. Any individual or organization may obtain one printed
copy of each of the Exposure Drafts without charge until October 30,
2008, by writing or phoning the GASB.
Written comments should be provided no later than October 30,
2008; addressed to the Director of Research and Technical Activities,
Project No. 33 (Codification) and Project No. 33-1 (Hierarchy); and
emailed to director@gasb.org or mailed to the Governmental Accounting
Standards Board, 401 Merritt 7, PO Box 5116, Norwalk, CT 06856-5116.
About the Governmental Accounting Standards Board
The GASB is the independent, not-for-profit organization formed in
1984 that establishes and improves financial accounting and reporting
standards for state and local governments. Its seven members are drawn
from the Board's diverse constituency, including preparers and
auditors of government financial statements, users of those statements
and members of the academic community. More information about the GASB
can be found at its website, www.gasb.org.
GASB
Christine Klimek, 203-956-3459
Copyright Business Wire 2008
