Tariffs: Coming to a Balance Sheet Near You - Recognition Impacts & Uncertainty

Tariffs have long been a part of international trade and, as a result, many of the financial reporting implications are not new nor require novel interpretations of accounting guidance. However, the scale and scope of tariff-related financial reporting implications are poised to be more extensive than any seen in recent decades. Starting with the February 1, 2025 Executive Orders imposing tariffs on Canada, Mexico, and China, as well as eliminating duty-free de minimis treatment for low-value packages, the landscape has