Written for readers without an accounting background, this article provides a summary of the treatment of stock compensation under US GAAP. Also includes highlights of differences between the US GAAP and IFRS with respect to stock compensation.
On March 30, 2016, the FASB issued Accounting Standards Update 2016-09, which finalizes the FASB's updates to simplify the operation of ASC 718, including changes to the accounting treatment of the tax effects of stock compensation, forfeitures, and share withholding.
This article summarizes how ASU 2016-09 amends ASC 718, including changes to tax accounting procedures, application of estimated forfeiture rates, and the treatment of share withholding.
This article provides a handy table that compares the guidance in ASU 2016-09 to prior US GAAP and includes KPMG's observations on the new guidance.
Deloitte's summary of and observations on ASU 2016-09, including an example of the journal entries for the new tax accounting.
Jettisoning Estimated Forfeiture Rates
Update to ASC 718: Survey Says
Final Update to ASC 718
Winning Plays from the Pros
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