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Companies Should Review Their Performance-Based Compensation Plans Following FASB Change Involving Extraordinary Items
Towers Watson Feb. 17, 2015 "While this change might seem esoteric and of interest only to accountants, some housekeeping may be in order for compensation plans or grants that would exclude the effect of extraordinary items under the existing standard. In the short term, companies making multi-year performance grants in early 2015 should take the time to understand the impact of this change because it can relate both to how performance is measured and tax deductibility under Code Section 162(m)." |
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