Thank you to the CPA Journal and Howard B. Levy, CPA for this detailed and helpful article about financial reporting, taxes, auditing and more for businesses as we approach our first tax season amidst COVID. The topics addressed include:
Use of estimates
Risk assessment.
Subsequent Events
Internal Control
Accessibility to Audit Evidence and Client Personnel
Disclosure of Risks and Uncertainties
Accounting Estimates
Valuation of receivables, inventories, investment securities, and deferred tax assets.
Impairment of goodwill, other intangibles, or long-lived assets.
Loss contingency accruals and disclosures.
Business interruption insurance recoveries.
Future operating losses.
CARES Act
Tax effects.
Government loans and other benefits.
Relief for financial institutions from certain GAAP provisions.
Revenue Recognition
Leases and Other Contract Modifications
Debt Covenant Compliance
Inventory Observations
EOM, Explanatory, and CAM/KAM Paragraphs
MD&A and Other Disclosures for Public Companies and Governments
Financial Reporting and Auditing Implications of the COVID-19 Pandemic
Some Practical Guidance
