This publication updates NDS 2010-19, “Variable Interest Entity Analysis,” on applying the variable interest entity (VIE) consolidation model under ASC 810, as amended by ASU 2015-02, Amendments to the Consolidation Analysis
, issued in February 2015.
- Modify the evaluation of whether limited partnerships and similar legal entities are VIEs or voting interest entities
- Eliminate the presumption that a general partner should consolidate a limited partnership
- Affect the consolidation analysis of reporting entities that are involved with VIEs, particularly those that have fee arrangements and related-party relationships
- Provide a scope exception from consolidation guidance for reporting entities with interests in legal entities that are required to comply, or operate in accordance, with requirements that are similar to those in Rule 2a-7 of the Investment Company Act of 1940 for registered money market funds