Recently, special purpose entities ( SPEs ) arrangements are varied and complicated, and the volume of transactions through SPEs are increasing sharply. Such situations have caused difficulties for preparers and auditors of financial statements how to account for transactions through SPEs. Given the circumstances, the former Theme Advisory Council proposed the ASBJ to develop accounting rules applied to transactions through SPEs. To make further discussion, the ASBJ set up the Technical Committee for SPEs in February 2006.
The ASBJ has already released Implementation Guidance on Disclosures about Certain SPEs in March 2007 as short-term topic. The Technical Committee will discuss fundamental issues about consolidation of SPEs as long-term topic. The Technical Committee changed its name to Technical Committee for SPEs & Trusts in November 2006 to develop necessary accounting guidance for trusts. After a release of Practical Solution on Accounting for Trusts (PITF No.23) on August 2007, the Technical Committee put back its name to Technical Committee for SPEs.