Accounting consolidating partnerships
This Portfolio provides detailed examples and comments relating to the effect of partnership transactions on partners' capital accounts. He is currently a Lecturer of Accounting at the Stetson School of Business and Economics at Mercer University in Atlanta, GA. The accounting for partnership formation, operations, distributions, changes in partnership, and liquidation are covered in detail. He is a licensed Certified Public Accountant in Maryland and a licensed attorney in both Pennsylvania and the District of Columbia. The staff has prepared this summary of Board decisions for information purposes only.Those Board decisions are tentative and do not change current accounting.The guidance in that paragraph is appropriate for reporting entities that first must navigate through the Variable Interest Entities Subsections of Subtopic 810-10 before applying the General Subsections.
The Board meeting minutes are provided for the information and convenience of constituents who want to follow the Board’s deliberations.
Board Meeting—Decision-making meeting during which the Board decided to affirm its decision to maintain current practice for not-for-profit general partners of for-profit limited partnerships by reinstating guidance that previously existed in Subtopic 810-20.
The Board also made decisions related to transition and effective date and directed the staff to draft a final Accounting Standards Update for vote by written ballot.
On August 3, 2016, the FASB issued the Exposure Draft, The Board discussed comment letter feedback and affirmed its decision to reinstate the consolidation guidance that previously existed in Subtopic 810-20, Consolidation—Control of Partnerships and Similar Entities, by including it in Subtopic 958-810, Not-for-Profit Entities—Consolidation.
The Board decided that not-for-profit entities that already have adopted the amendments in Accounting Standards Update 2015-02, , will be required to apply the amendments in the final Update retrospectively to all relevant prior periods beginning with the fiscal year in which the amendments in Update 2015-02 initially were adopted.