Bloomberg Tax
Aug. 23, 2021, 8:45 AM

Accounting May Be ‘Blind Spot’ as SEC Mulls Climate Reporting

Nicola M. White
Nicola M. White
Reporter

Coming soon: SEC rules for public companies to report the impacts of climate change and progress toward climate goals.

Already here, and not to be ignored: accounting requirements that capture some details, like the financial effects of a commitment to going carbon-neutral or phasing out energy-sucking machinery and equipment.

While the Securities and Exchange Commission’s reporting rules—expected by early fall—grab headlines, the existing financial reporting requirements must still be followed, say practitioners, standard-setters, and regulators themselves. And the SEC is paying attention.

“There’s so much attention being given to reporting requirements in the future,” said Eric Knachel, partner ...

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