Genuine Learning Blog: Proposed ASU on Environmental Credits (Topic 818)

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From Gray to Green: New Proposed Standards for Environmental Credits

Accounting for environmental credits has been a gray area for years, but FASB is looking to bring some structure with its latest proposed update (Topic 818). The goal? Standardizing how companies recognize and measure these credits and obligations in financial statements.

Check out this week’s blog as we break down the key components of FASB’s proposal—less fog, more facts, and a clearer path for financial reporting.

FASB wants your feedback! Submit comments by April 15, 2025.

Surprised by any changes or required disclosures? Drop your thoughts in the comments!

SCACPA is excited to partner with Galasso Learning Solutions and the Genuine Learning Blog for real-time A&A updates and answers for SCACPA members.

With extensive experience in auditing and technology, Peter serves as an Audit Training Facilitator at Galasso Learning Solutions. His expertise in auditing healthcare companies, employee benefit plans, and private companies with complex transactions has made him a key contributor to the development of technical accounting training programs.

Before joining GLS, Peter worked at a Big 4, specializing in auditing healthcare companies in both public and private sectors. He later transitioned to an Internal Audit role at a Fortune 500 company before returning to public accounting at a national firm, where he focused on audits involving business combinations, asset acquisitions, GAAP to IFRS conversions, and technology implementations.

 What topics would you like to see FASB address next?

Proposed Accounting Standards Update – Environmental Credits and Environmental Credit Obligations (Topic 818)

Comments and Feedback are due by April 15, 2025.

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