FASB expects to introduce a comprehensive reorganization of accounting standards and other pronouncements on July 1, 2009, making it the sole authority for non-governmental U.S. generally accepted accounting principles.
Once introduced, the codification will supersede all other reference materials, including that of the American Institute of Certified Public Accounting, FASB Emerging Issues Task Force and FASBs existing authoritative literature, according to a statement from the Financial Accounting Standards Board.
The proposed FASB Accounting Standards Codification does not change GAAP; instead, it introduces a new structure, one that is organized in an easily accessible, user-friendly online research system, the statement said.
The codification, which also includes relevant SEC guidance and interpretations, reorganizes the thousands of U.S. GAAP pronouncements into roughly 90 accounting topics and displays all topics using a consistent structure, the statement said.
U.S. GAAP will be completely reconfigured in a way that will vastly improve the ease of researching (its) issues, superseding existing authoritative literature, including FASB's original pronouncements, Robert Herz, FASB chairman, said in the statement. "Preparers and auditors of financial statements need to familiarize themselves with the changes so that they are ready for the switch."
FASB expects to approve the proposed codification, now available for public comments at http://asc.fasb.org, before its July 1 introduction, the statement said. A date for the vote on the proposed codification hasnt been set, said Christine L. Klimek, FASB communications manager.
Online tutorials on the codification and background material are available at http://asc.fasb.org. Also, a webcast about the codification is available at http://www.fasb.org.