Kristin Bauer, partner at Deloitte LLP, participated in a video interview in conjunction with Nareit’s REITwise: 2023 Law, Accounting & Finance Conference held March 21-23 in Phoenix, Arizona.
Bauer addressed the International Accounting Standards Board’s (IASB) project on primary financial statements that could fundamentally change the presentation of information in the income statement. She noted that it has been on the agenda for a long time, with a draft issued in 2019 and multiple refinements made since then. The staff is being mindful not to make substantive changes or to expand its scope, she said, “which tells me they want to finish the project.”
Bauer described it as a “pretty fundamental change for most organizations,” and said that the earliest it could be issued would be the end of the year, “but that would be pretty quick.”
Meanwhile, Bauer discussed the International Sustainability Standards Board (ISSB) and noted that it issued two standards in March 2022 that were exposed to public comment. She said both standards are likely to get issued by the end of the second quarter. These would be the first two sustainability standards that get issued in final form by the ISSB, and would be effective from Jan. 1, 2024, she said.