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Companies Don’t Have to Disclose Government Incentives Just Yet

Feb. 27, 2019, 9:50 PM

U.S. accounting rulemakers aren’t quite ready to force companies like Amazon.com Inc. and Foxconn Technology Co. Ltd. to reveal details in their financial statements about incentive packages government bodies offer them to build new headquarters or make new hires.

The idea behind proposing the disclosures makes sense, a majority of the Financial Accounting Standards Board said Feb. 27. But if not executed properly, companies could be saddled with extra costs to provide information that investors and analysts would not find useful.

“I’m all in favor of the project if the disclosures provide decision-useful information,” FASB member Gary Buesser said. “If ...

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