PwC's accounting podcast

Every Tuesday in June, Angela Fergason is taking over the podcast to share the latest in her areas of specialty — including recent trends in revenue, how to consider whether your company is a principal or agent when recognizing revenue, software costs, and restructurings.

To continue the series, Heather and Angela are joined by Mike Coleman, a partner in PwC’s National Office, to share insights on the challenges in the principal versus agent analysis.

In this episode, you’ll hear discussion of:

• 1:37 - An overview of the principal versus agent assessment
• 3:52 - Practical examples
• 7:09 - An overview of the two-step assessment of whether the company acts as the principal or agent from the perspective of the intermediary
• 17:22 - An overview of the two-step assessment of whether the company acts as the principal or agent from the perspective of the vendor
• 18:22 - Considerations when accounting for revenue based on the results of the principal versus agent analysis
• 22:35 - Final advice to clients and engagements teams when performing the principal versus agent assessment

For more information, read chapter 10 of our Revenue guide for principal versus agent considerations.

Angela Fergason is a partner and standard setting leader in PwC's National Office who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies. 

Mike Coleman is a partner in PwC's National Office with over 30 years of experience. Mike specializes in accounting for revenue and software arrangements and has served technology clients for much of his career. In addition, Mike has represented the firm on the AICPA Software Task Force.

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

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With so much focus on upcoming mandatory sustainability reporting requirements from jurisdictions around the globe, it’s sometimes easy to lose sight of the fact that many of the biggest sustainability-related topics often can and do have an impact not just on sustainability disclosures, but also on the financial statements. 

Both the Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB)® have provided educational materials on the topic of ESG in the financial statements under existing accounting standards – and both boards have added projects to their respective agendas that will impact accounting standards in the future.

This week, Heather Horn was joined by Scott Bandura, Valerie Wieman, and Katie Woods, who are all following sustainability-related projects from accounting standard setters, to share their insights on these projects and provide reminders under current accounting standards for reporting on ESG topics in the financial statements. Katie also addresses the topic of connectivity between sustainability reporting and financial reporting.

In this episode, you’ll hear discussion of:

• 2:13 - An overview and status of the FASB’s sustainability-related agenda projects
• 7:57 - An overview and status of the IASB’s project on climate in the financial statements
• 13:45 - The connectivity between the IASB’s climate project and sustainability reporting
• 24:20 - Challenges in reporting the impacts of sustainability related matters
• 31:24 - Definitions of “pollution mechanisms” and “carbon offsets” as well as the accounting and reporting implications of these instruments
• 36:17 - An overview of the types of power purchase agreements and their accounting and reporting implications
• 43:27 - Final advice for companies to help them stay up to speed with evolving guidance

Scott Bandura is a partner in the National and Global Accounting Consulting Services at PwC Canada with over 20 years of experience advising clients on international accounting standards. 

Valerie Wieman is PwC’s National Office Editor-in-chief. She is involved in the creation, development, and publication of our brand-defining thought leadership, with a focus on ESG reporting. Prior to this role, she was part of PwC’s National Office SEC Services group, helping clients navigate SEC rules and regulations.

Katie Woods is a Director in PwC's Global Accounting Consulting Services group and advises on ESG and international accounting standards. Katie specializes in the new and emerging ESG reporting frameworks working across the PwC network. She has over 30 years of experience working with a broad range of companies. Katie speaks regularly on a range of ESG and accounting topics at national and international seminars.

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to

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Every Tuesday in June, Angela Fergason is taking over the podcast to share the latest in her areas of specialty — including recent trends in revenue, how to consider whether your company is a principal or agent when recognizing revenue, software costs, and restructurings.

To kick off the series, Angela shares insights on current trends in the accounting for revenue transactions.

In this episode, you’ll hear discussion of:

• 1:38 - An overview of accounting for revenue
• 4:16 - “Everything as a Service” (XaaS) arrangements and their embedded complexities, including interaction with the lease accounting model
• 12:38 - Revenue contract modifications, including scope reductions
• 17:32 - The non-cash consideration revenue model, including equity payments for both vendors and customers as well as interaction with stock-based compensation guidance
• 23:04 - Considerations when revenue arrangements include significant financing
• 26:05 - SEC comment letter trends and final advice on accounting for revenue

For more information, read our Revenue, Leases and Stock-based compensation guides. Additionally, check out our prior podcasts on the subscription economy, identifying embedded leases, and Revenue: 2022 SEC comment letter trends.

Angela Fergason is a partner and standard setting leader in PwC's National Office who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies. 

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

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The European Commission has adopted a set of proposals, known as the European Green deal, with the aim of reducing net greenhouse gas emissions in the European Union (EU) by at least 55% by 2030, and achieving zero net emissions by 2050. In addition to the Corporate Sustainability Reporting Directive (CSRD), another pillar of this policy is the creation of the Carbon Border Adjustment Mechanism (CBAM), a new border tax aimed at equalizing the price of carbon paid for EU products operating under the EU Emissions Trading System (ETS) with that of similar imported goods.

CBAM is likely to impact the cost of carbon in global supply chains, and also has reporting obligations beginning as early as October of 2023, and the regulation has raised many questions. Which companies will it impact? What products are in scope? Will it impact companies that don’t do business in the EU?

This week, Heather Horn was joined by Barry Murphy and Niels Muller, PwC partners who are following CBAM, to share their insights on what it means and what companies can do now to prepare.

In this episode, you’ll hear discussion of:

• 2:26 - An overview of the EU Green Deal and CBAM
• 9:37 - How CBAM is intended to spur global alignment on carbon pricing
• 13:26 - Effective dates, applicable products, and other details of the regulation
• 25:58 - The current status of verification (audit) requirements and how these may evolve
• 29:39 - How CBAM could potentially impact the cost of carbon in global supply chains
• 33:59 - Recommendations for companies that want to begin preparing for CBAM ahead of the October 2023 effective date

Want to learn more about CBAM? Watch our webcast series.

Barry Murphy is PwC’s Global ESG leader for Tax and Legal Services. Based in the UK, he has 20 years of experience advising clients on their domestic and international tax affairs. He is also focused on driving compliance solutions with the digital first approach. 

Niels Muller is a PwC partner based in the Netherlands specializing in energy transitions and sustainable energy. In this role he advises institutional investors, financial institutions, and utility companies as well as governments and non-governmental organizations on sustainability and tax projects.

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

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Every Tuesday in May, Jennifer Spang is taking over the podcast to share the latest on income tax accounting — recent global and US tax policy developments, standard setting activity, and tax accounting considerations related to common transactions, such as business combinations and spinoffs.

To continue the series, Heather and Jenn are joined by Matt McCann, a partner in PwC’s National Office, to share insights on the practical challenges that arise in the tax accounting for spinoff transactions.

In this episode, you’ll hear discussion of:

• 1:30 - What a spinoff transaction is and the SEC filing requirements, including the preparation of carve-out financial statements
• 7:48 - Considerations related to allocating the consolidated income tax provision to the carved-out entity 
• 18:22 - Other practical tax challenges in carve outs including valuation allowance assessments, uncertain tax positions, and tax sharing agreements 
• 28:30 - The importance of robust disclosures when attributes or assertions are expected to change post spin
• 35:52 - Planning for tax complexities post spin and final advice for companies 

For more information, read our Income taxes and Carve-out financial statements guides. Additionally, check out our prior podcast on taxes in separate company financial statements. 

Jennifer Spang is PwC’s National Office income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters. 

Matthew McCann is a partner in PwC's National Office who provides consultation in the areas of revenue recognition and income taxes. He has over 25 years of experience and previously served as the leader of the Consumer & Industrial Products Sector Assurance Practice in North Texas.

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

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With so much focus on the SEC’s climate disclosure proposal in the US this year, climate has taken the attention of many preparers – and for good reason. However, another topic, natural resources and biodiversity, is coming to the forefront as governments and companies begin to understand the size of the problem, both in terms of its potential impact on business and the potential impact of business on biodiversity. But with many competing priorities, how do companies also contemplate nature issues in their strategy?

This week, Heather Horn was joined by guests at the forefront of the nature space:

• Will Evison, director in PwC UK’s Global Sustainability, Climate, and Nature Strategy practice
• Eva Zabey, CEO of Business for Nature
• Julie Moorad, Senior Manager of Climate Action at Salesforce

Our panel shares their insights on ways companies are strategizing and integrating the topic of nature into their operating models.

In this episode, you’ll hear discussion of:

• 1:42 - Synergies between climate initiatives and nature positive policies
• 15:11 - Transforming your nature strategy to manage risk and create value
• 27:32 - The interrelationships among natural capital, business operations, and the broader economy
• 37:45 - The importance of starting a nature positive path now even though strategies may evolve in the long term
• 43:03 - The importance of building capacity in nature strategy and reporting
• 46:44 - Final advice for companies wanting to integrate nature positive strategies into everyday operations

Interested in more background on measuring and reporting nature and biodiversity? Listen to our previous podcast in the “Becoming nature positive” series, and check out PwC’s global nature hub here.

Will Evison is a director in PwC UK’s Global Sustainability, Climate, and Nature Strategy practice, specializing in integrating natural and social capital analysis into decision making. With over 18 years’ experience delivering climate and nature-related projects with businesses, investment firms and public sector organizations across more than 20 countries, he also led the development of PwC’s Total Impact Measurement and Management methodologies (TIMM), and now manages PwC’s global TIMM center of excellence. These methodologies utilize predictive analytics, health economics, and wellbeing techniques to model outcomes.

Eva Zabey is the CEO of Business for Nature, which is a global business-led coalition aiming to reverse nature loss and restore the planet’s natural systems on which economies, wellbeing and prosperity depend. Previously, she led natural capital projects at the World Business Council for Sustainable Development for 15 years.

Julie Moorad is a Senior Manager of Global Climate Action for Salesforce. Her team leads Salesforce’s international sustainability strategy, Europe, Middle East, and Africa sustainability program and developing our nature strategy, and implements nature positive policies that drive economic value firmwide and for their customers.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

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Every Tuesday in May, Jennifer Spang is taking over the podcast to share the latest on income tax accounting — recent global and US tax policy developments, standard setting activity, and tax accounting considerations related to common transactions, such as business combinations and spin-offs.

To continue the series, Heather and Jenn are joined by Kassie Bauman, a managing director in PwC’s National Office, to share their insights on income tax accounting for business combinations.

In this episode, you’ll hear discussion of:

• 2:01 - An overview of the applicable guidance and a summary of steps to take when assessing tax considerations of a business combination
• 7:13 - The importance of the tax status of the entities involved and distinguishing between taxable and non-taxable transactions 
• 20:53 - Identifying and measuring temporary tax differences related to business combinations
• 23:36 - Deferred taxes associated with goodwill and considerations on the valuation allowance assessment
• 34:26 - Other common tax accounting considerations in business combinations including the measurement period, uncertain tax positions, and indemnifications 
• 37:32 - Final thoughts, including deal economics considering tax 

For more information, read our Business combinations and Income taxes guides, and check out a prior podcast on accounting for business combinations. 

Jennifer Spang is PwC’s National Office income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters. 

Kassie Bauman is a managing director in PwC's National Office who consults on tax accounting under US GAAP and IFRS. Kassie has more than 20 years of auditing and accounting experience addressing complex technical accounting matters. 

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

The International Sustainability Standards Board (ISSB) has been working quickly through deliberations on its proposals to create a comprehensive global baseline of sustainability disclosures. Final standards are expected by the end of Q2 2023. But implementing an effective global baseline goes beyond simply setting standards – it requires a new set of capabilities, infrastructure, knowledge, and talent in economies around the world.

How will this be accomplished? This week, Heather Horn was joined by Jingdong Hua, Vice Chair of the ISSB, and Mardi McBrien, Strategic Affairs Director of the IFRS Foundation, to discuss the topic of “capacity building” and how the IFRS Foundation is focused on bringing the global reporting community along the sustainability reporting journey.

In this episode, you’ll hear discussion of:

• 2:29 - What capacity building means
• 4:59 - How the ISSB is creating partnerships to advance its progress toward building capacity
• 12:35 - The importance of interoperability across jurisdictions and regulatory frameworks
• 17:50 - The ISSB’s three-part capacity building framework
• 26:21 - How the ISSB is bringing together stakeholders with varying interests for common goals
• 28:40 - Expectations on timing of release of final ISSB standards and resources for companies to prepare

Want to hear more about the ISSB? Listen to our previous podcasts on its fast-paced deliberations as well as PwC’s responses to the ISSB exposure drafts. For more on how ISSB standards compare to other proposals, read our publication: Navigating the ESG landscape.

Jingdong Hua is the Vice Chair of the ISSB. His role on the board is to develop and implement the ISSB’s strategies to support and include stakeholders in emerging and developing economies as well as small and medium-sized companies. He is the former Vice President and Treasurer of World Bank, where he specialized in sustainability bonds and developed the world’s first “green-bond.” 

Mardi McBrien is the Director of Strategic Affairs at the IFRS Foundation responsible for sustainability reporting. In this role she has played an active part in setting up the ISSB. Prior to the IFRS Foundation, Mardi spent over a decade leading the global ESG standard setter, the Climate Disclosure Standards Board (CDSB), in developing quality disclosure standards and thought leadership on environmental and social issues.

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

Every Tuesday in May, Jennifer Spang is taking over the podcast to share the latest on income tax accounting — recent global and US tax policy developments, standard setting activity, and tax accounting considerations related to common transactions, such as business combinations and spin-offs.

To continue the series, Heather and Jenn are joined by Kassie Bauman, managing director in PwC’s National Office, to share insights on income tax accounting for equity method investments.

In this episode, you’ll hear discussion of:

• 1:31 - An overview of the equity method of accounting under GAAP for book purposes
• 6:21 - Book versus tax basis differences and when to record deferred taxes on equity method investments
• 8:52 - Income tax accounting implications when an investee becomes a subsidiary (or vice versa) through changes in ownership and control
• 13:43 - Income tax considerations related to equity method investments in partnerships, including the “look-through” policy election and inside and outside tax basis differences
• 25:45 - Final advice and common income tax questions on equity method investments

For more information, read our Equity method and Income taxes guides. Additionally, check out our prior podcasts, Part 1 and Part 2, on applying the equity method.

Jennifer Spang is PwC’s National Office income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters. 

Kassie Bauman is a managing director in PwC's National Office who consults on tax accounting under US GAAP and IFRS. Kassie has more than 20 years of auditing and accounting experience addressing complex technical accounting matters. 

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

With a multitude of ESG disclosure and reporting requirements coming into play around the world, it’s easy to begin viewing sustainability as nothing more than a compliance and reporting obligation – something that must be done but that doesn’t actually create value.

But what if that perspective is limited? This week, Heather Horn was joined by Jamie Gamble, PwC managing director, to discuss how leading companies and their boards are viewing sustainability as an opportunity to reflect on the issues that are core to their businesses’ value creation – and integrating these issues into their strategies to create sustainable, long-term value. This is what Jamie calls “sustainable value governance.”

In this episode, you’ll hear discussion of:

• 3:20 - The marketplace factors driving demand for sustainable progress
• 6:30 - How investors and other stakeholders are beginning to understand the long term value embedded in ESG issues
• 14:54 - A four-part framework for sustainable value governance
• 28:20 - How robust reporting for the board supports companies in making progress on the issues that drive sustainable value
• 36:40 - How and why the finance function is playing a central role in the company’s sustainability policy setting and reporting
• 42:46 - The benefits that accrue to companies from having a clear, consistent process for identifying the sustainability issues that are relevant for their business

Want to hear more from Jamie? Listen to his previous podcast on governance in the SEC’s climate disclosure proposal.

Jamie Gamble is a managing director in PwC's Trust Solutions practice with over 25 years of experience focused on corporate governance, cybersecurity, workforce, and ESG-related issues. Before joining PwC, he was a litigation partner at a major law firm.

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.