New accounting pronouncements

3 Months Ended

Mar. 31, 2024

New Accounting Pronouncements and Changes in Accounting Principles

New Accounting Pronouncements

Note 3 - New accounting pronouncements

Recently Adopted Accounting Standards Updates

Standard

Description

Date of adoption

Effect on the financial statements 

FASB ASU 2023-02,

Investments—Equity

Method and Joint

Ventures (Topic 323) -

Accounting for

Investments in Tax Credit

Structures Using the

Proportional Amortization

Method

The Financial Accounting Standards Board

("FASB") issued Accounting Standard

Update ("ASU") 2023-02 in March

2023, which amends Accounting Standards

Codification ("ASC") Topic 323 by

permitting the election to apply the

proportional amortization method to account

for tax equity investments that generate

income tax credits through investment in

low-income-housing tax credit (LIHTC)

structures and other tax credit programs if

certain conditions are met. The ASU also

eliminates the application of the ASC

Subtopic 323-740 to LIHTC investments not

accounted for using the proportional

amortization method and instead requires

the use of other guidance.

January 1, 2024

The Corporation was not impacted by

the adoption of this ASU since it does

not hold investments in tax equity

investments.

FASB ASU 2023-01,

Leases (Topic 842) -

Common Control

Arrangements

The FASB issued ASU 2023-01 in March

2023, which amends ASC Topic 842 and

requires the amortization leasehold

improvements associated with common

control leases over the useful life of the

leasehold improvements to the common

control group as long as the lessee controls

the use of the underlying assets through a

lease. In addition, the ASU requires

companies to account for leasehold

improvements associated with common

control leases as a transfer between entities

under common control through an

adjustments to equity if, and when, the

lessee no longer controls the use of the

underlying asset.

January 1, 2024

The Corporation was not impacted by

the adoption of this ASU since it does

not hold common control leasehold

improvements, however, it will consider

this guidance to determine the

amortization period for and accounting

treatment of leasehold improvements

associated with common control leases

acquired on or after the effective date.

FASB ASU 2022-03, Fair

Value Measurement

(Topic 820) - Fair Value

Measurement of Equity

Securities Subject to

Contractual Sale

Restriction

The FASB issued ASU 2022-03 in June

2022, which clarifies that a contractual

restriction that prohibits the sale of an equity

security is not considered part of the unit of

account of the equity security, therefore, is

not considered in measuring its fair value.

The ASU also provides enhanced

disclosures for equity securities subject to a

contractual sale restriction.

January 1, 2024

The Corporation was not impacted by

the adoption of this accounting

pronouncement since it does not hold

equity securities measured at fair value

with sale restrictions.

Accounting Standards Updates Not Yet Adopted

Standard

Description

Date of adoption

Effect on the financial statements 

FASB ASU 2024-02,

Codification

Improvements—

Amendments to Remove

References to the

Concepts Statements 

The FASB issued ASU 2024-02 in March

2024, which removes various references to

concept statements from the FASB

Accounting Standards Codification. The

ASU intends to simplify the Codification

and distinguish between nonauthoritative

and authoritative guidance.

January 1, 2025

The Corporation is currently evaluating 

any impact that the adoption of this

guidance will have on its financial

statements and presentation and

disclosures.

FASB ASU 2024-01,

Compensation - Stock

Compensation (Topic 718)

- Scope Application of

Profits Interest and Similar

Awards

The FASB issued ASU 2024-01 in March

2024, which amends ASC Topic 718 by

including an illustrative example to

demonstrate how an entity would apply the

scope guidance in paragraph 718-10-15-3

to determine whether profits interest awards

should be accounted for in accordance with

ASC Topic 718. The ASU is intended to

reduce complexity and diversity in practice.

January 1, 2025

The Corporation is currently evaluating

any impact that the adoption of this

guidance will have on its financial

statements and presentation and

disclosures.

FASB ASU 2023-09,

Income Tax ( Topic 740) -

Improvements to Income

Tax Disclosures

The FASB issued ASU 2023-09 in

December 2023, which amends ASC Topic 

740 by enhancing disclosures regarding

rate reconciliation and requiring the

disclosure of income taxes paid, income (or

loss) from continuing operations before

income tax expense and income tax

expense disaggregated by national, state

and foreign level. Disclosures that no longer

were considered cost beneficial or relevant

were removed from ASC Topic 740.

January 1, 2025

The Corporation is currently evaluating

any impact that the adoption of this

guidance will have on its financial

statements and presentation and

disclosures.

FASB ASU 2023-08,

Intangibles - Goodwill and

Other - Crypto Assets

(Subtopic 350-60) -

Accounting for and

Disclosure of Crypto

Assets 

The FASB issued ASU 2023-08 in

December 2023, which amends ASC

Subtopic 350-60 by requiring that crypto

assets are measured at fair value in the

statement of financial position each

reporting period with changes from

remeasurement being recognized in net

income. The ASU also requires enhanced

disclosures for both annual and interim 

reporting periods to provide investors with

relevant information to analyze and assess

the exposure and risk of significant

individual crypto asset holdings.

January 1, 2025

The Corporation does not expect to be

impacted by the adoption of this ASU

since it does not hold crypto-assets for

its platform users.

FASB ASU 2023-07,

Segment Reporting (Topic

280) - Improvements to

Reportable Segment

Disclosures

The FASB issued ASU 2023-07 in

November 2023, which amends ASC Topic 

280 by requiring additional disclosures

about significant segment expenses.

For fiscal years

beginning on

January 1, 2024

For interim periods

within fiscal years

beginning after

January 1, 2025

The Corporation is currently evaluating

any impact that the adoption of this

guidance will have on its financial

statements and presentation and

disclosures.

Accounting Standards Updates Not Yet Adopted

Standard

Description

Date of adoption

Effect on the financial statements 

FASB ASU 2023-06,

Disclosure Improvements -

Codification Amendments

in Response to the SEC’s 

Disclosure Update and

Simplification Initiative

The FASB issued ASU 2023-06 in October

2023 which modifies the disclosure or

presentation requirements of various

subtopics in the Codification with the

purpose of aligning U.S. GAAP

requirements with those of the SEC under

Regulation S-X and S-K. 

The date on which

the SEC removes

related disclosure

requirements from

Regulation S-X or

Regulation S-K. If by

June 30, 2027, the

SEC has not

removed the

applicable

requirements from

Regulation S-X or

Regulation S-K, the

pending content of

the related

amendment will be

removed from the

Codification and will

not become 

effective for any

entity.

The Corporation does not expect to be

impacted by the adoption of this ASU

since it is currently subject to SEC's

current disclosure and presentation

requirements under Regulation S-X and

S-K.

FASB ASU 2023-05,

Business Combinations -

Joint Venture Formations

(Subtopic 805-60) -

Recognition and initial

measurement

The FASB issued ASU 2023-05 in August

2023, which amends ASC Subtopic 805-60

to include specific guidance about how joint

ventures should recognize and initially

measure assets contributed and liabilities

assumed. The amendments require that a

joint venture, upon formation, recognize and

initially measure its assets and liabilities at

fair value.

January 1, 2025

Upon adoption of this ASU, the

Corporation will consider this guidance

for the initial measure of assets and

liabilities of newly created joint

ventures.