Objective:

The objective of the Interim Reporting—Narrow-Scope Improvements (formerly known as the Disclosure Framework: Disclosures—Interim Reporting) project is to improve the Codification guidance in Topic 270, Interim Reporting, by clarifying when the guidance in Topic 270 is applicable and improving the navigability of the required interim disclosures.

Background:

This project began as part of the overall disclosure framework project in 2014. The objective of the disclosure framework project was to improve the effectiveness of disclosures in notes to financial statements by facilitating clear communication of the information required by generally accepted accounting principles (GAAP) that is most important to users of financial statements. The Board reviewed the disclosure requirements in Topic 270 considering the disclosure framework in FASB Concepts Statement No. 8, Conceptual Framework for Financial Reporting—Chapter 8, Notes to Financial Statements, and decided not to add or remove any disclosures on the basis of that assessment. However, the Board identified some improvements that could be made to Topic 270.

On November 1, 2021, the Board issued proposed Accounting Standards Update, Interim Reporting (Topic 270): Disclosure Framework—Changes to Interim Disclosure Requirements. The amendments in that proposed Update would improve Topic 270 by:

1. Introducing a principle to Topic 270 that is based on the removed portion of Regulation S-X, Rule 10-01, Interim Financial Statements.
2. Providing requirements about the form and content in financial statements as part of an entity’s interim reporting, which is not currently included in Topic 270
3. Including all interim disclosure requirements or references to interim reporting requirements in Topic 270 and clarifying when comparative disclosures are required
4. Eliminating the phrase as a minimum and adding proposed language to promote that entities should use discretion when considering the need to provide interim disclosures
5. Clarifying that assessing which disclosures to provide at interim periods involves considering information provided at the previous annual period.

In May 2022, the Board renamed the project Interim Reporting—Narrow-Scope Improvements to communicate the project’s objective more clearly. In that meeting, the Board also reaffirmed its decision to improve the Codification guidance in Topic 270 by continuing to develop the amendments in the proposed Update during redeliberations.

On November 1, 2021, the Board issued a proposed Accounting Standards Update, Interim Reporting (Topic 270): Disclosure Framework—Changes to Interim Disclosure Requirements. The due date for comment letters was January 31, 2022.

• Download the proposed Accounting Standards Update, Interim Reporting (Topic 270): Disclosure Framework—Changes to Interim Disclosure Requirements.
• Read comment letters on the proposed Accounting Standards Update.

• Read the press release on the proposed Accounting Standards Update

Decisions Reached at Last Meeting (November 30, 2022):

The Board continued redeliberations on the proposed Accounting Standards Update, Interim Reporting (Topic 270): Disclosure Framework—Changes to Interim Disclosure Requirements, and decided:

1. That Section 270-10-45 should only apply to interim financial statements in accordance with GAAP and not apply to interim financial information that an entity may choose to provide.
2. To leverage existing guidance in paragraph 205-10-45-1A to describe interim financial statements and notes in accordance with GAAP for purposes of applying Topic 270.
3. To include a reference in Topic 270 to relevant U.S. Securities and Exchange Commission (SEC) regulations for the form and content of interim financial statements for entities that are SEC registrants.
4. To include both of the following descriptions of acceptable formats for interim financial statements and notes in accordance with GAAP for entities that are not SEC registrants:
   1. Financial statements presented using the same level of aggregation as the annual financial statements and notes subject to all disclosure requirements in GAAP
   2. Financial statements that may be aggregated in a condensed format and/or limited notes subject to the disclosure requirements of Topic 270.
5. To provide guidance on the content of condensed financial statements for entities that are not SEC registrants by leveraging guidance in Rule 10-01 and Rule 8-03 of SEC Regulation S-X.
6. To clarify the reference to annual financial statements by leveraging the SEC language in Regulation S-X, Rule 210.10-01(a)(5), for all entities.
7. For entities that are not SEC registrants, to clarify that to apply Topic 270 guidance, those entities should make annual financial statements available to their users.
8. To require entities that are not SEC registrants to disclose that interim financial statements are to be read in conjunction with the prior annual financial statements and notes when providing condensed financial statements.

The Board meeting minutes, handouts, and videos are provided for the information and convenience of constituents who want to follow the Board’s deliberations. All of the conclusions reported are tentative and may be changed at future Board meetings. Decisions become final only after a formal written ballot to issue a final standard.

The following are links to the minutes for each meeting. To view Board meetings and handouts from the past 90 days, click here.

November 30, 2022*	Board Meeting—Interim Reporting—Narrow-Scope Improvements
July 27, 2022	Board Meeting—Interim Reporting—Narrow-Scope Improvements
May 25, 2022	Board Meeting—Interim Reporting—Narrow-Scope Improvements
July 14, 2021	Board Meeting—Disclosure Framework—Interim Reporting
December 16, 2020	Board Meeting—Disclosure Framework—Interim Reporting
August 19, 2020	Board Meeting—Disclosure Framework—Interim Reporting
September 18, 2019	Board Meeting—Disclosure Framework—Interim Reporting
July 11, 2018	Board Meeting—Disclosure Framework—Interim Reporting
January 7, 2015	Board Meeting—Disclosure Framework—Interim Reporting
May 28, 2014	Board Meeting—Disclosure Framework—Interim Reporting

The Board will continue redeliberations of the amendments in the proposed Update.

Jill Switter
Senior Project Manager
jmswitter@fasb.org

Regenia Cafini
Project Manager
rdcafini@fasb.org

Ally Gustke
Postgraduate Technical Assistant
agustke@fasb.org

Andrew Alber
Postgraduate Technical Assistant
aalber@fasb.org