Data Dictionary
Item Number 6440
"EFFECT OF ADOPTING FASB STATEMENT NO. 109, "ACCOUNTING FOR INCOME TAXES""Call confidentiality applies to FFIEC 031/041.
| Series | Start Date | End Date | Confidential? | Reporting Forms |
|---|---|---|---|---|
| RIAD6440 | 1993-09-30 | 1993-12-31 | No | Multiple Forms |
| SVGL6440 | 1984-03-31 | 1984-03-31 | Yes | FHLBB 1313 |
| TEXT6440 | 1993-09-30 | 1993-12-31 | No | Multiple Forms |
Data Description:
In February 1992, the Financial Accounting Standards Board (FASB) issued its Statement No. 109, "Accounting for Income Taxes." Statement No. 109 is effective for fiscal years beginning after December 15, 1992. Accordingly, all banks on a calendar year basis were to have adopted the accounting procedures specified by Statement No. 109 for Call Report purposes no later than the reporting period ending March 31, 1993. Banks with a fiscal year other than the calendar year must adopt Statement No. 109 for Call Report purposes at the beginning of their first fiscal year beginning after January 1, 1993. Banks that have not adopted Statement No. 109 in 1993 should report their income taxes, including their deferred taxes, in accordance with Statement No. 109 in the Call Report for September 30, 1993.
When Statement No. 109 was first adopted for Call Report purposes during the 1993 calendar year, the effect of initially applying Statement No. 109 on the amount of the bank's deferred tax debits/assets or credits/liabilities existing on January 1, 1993 (or the beginning of their fiscal year, if later) should be reported in "Extraordinary Items and Other Adjustments, Gross of Income Taxes (4310)", (reported in Schedule RI). The adoption of Statement No. 109 should be reported in this manner regardless of whether financial statements for prior years (other than Call Reports) are restated. The cumulative effect of adopting Statement No. 109 should exclude the effects of any items that Statement No. 109 requires to be excluded from net income.
Banks were permitted to adopt Statement No. 109 in the Call Reports for December 31, 1992, subject to certain limitations. If a bank implemented Statement No. 109 in its year-end 1992 Call Report, the cumulative effect of adopting Statement No. 109 as of January 1, 1992 (or the beginning of its fiscal year, if later), subject to the regulatory reporting limitation, was reported in item 4310. In its 1993 Call Reports, the bank should also report any additional effect of applying Statement No. 109 without any regulatory reporting limitations as of January 1, 1993 (or the beginning of its fiscal year, if later) in item 4310.
In order to assist banks, particularly smaller banks, in the calculation of a reasonable estimate of their year-to-date applicable income taxes for Call Report purposes in accordance with this new accounting standard, an optional worksheet covering this calculation under the regular tax system was enclosed with the Call Report package that was sent to them for September 30, 1993. A separate optional worksheet for calculating the cumulative effect of adopting Statement No. 109 at the beginning of the bank's fiscal year was included as an attachment to Financial Institutions Letter FIL-27-93 dated April 16, 1993.
NOTE:
For SVGL, title is "Other Borrowings - More Than Three Years Thru Five Years." This item is on the report forms 19840331 thru 19890331; no data on FDR.
Reported by the FFIEC 031-034 reporters.