Use of Inappropriate Elements to Tag Business Development Companies’ Consolidated Statements of Operations

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Use of Inappropriate Elements to Tag Business Development Companies' Consolidated Statements of Operations

Aug. 27, 2026 - Staff in the Commission's Division of Economic and Risk Analysis have completed an assessment of the tagging in Business Development Companies' (BDCs') consolidated statements of operations in Forms 10-K for fiscal year 2025. Staff have observed the following common tagging issues related to certain income and expense line items in BDCs' statements of operations:

• Investment income - interest and Investment income - dividend line items were erroneously tagged with us-gaap:InvestmentIncomeInterest and us-gaap:InvestmentIncomeDividend, respectively. For BDCs, the appropriate elements are us-gaap:InterestIncomeOperating and us-gaap:DividendIncomeOperating.
• The us-gaap:InvestmentIncomeNet element was incorrectly applied to Total investment income, Net investment income before tax, or Net investment income after tax line items. The proper elements for these items are us-gaap:GrossInvestmentIncomeOperating, us-gaap: NetInvestementIncome and us-gaap:InvestmentIncomeOperatingAfterExpenseAndTax, respectively.
• The us-gaap:OperatingExpenses element was incorrectly used for Total expenses before waivers or deductions. The appropriate element is us-gaap:InvestmentCompanyInvestmentExpense.

Financial Accounting Standards Board's Generally Accepted Accounting Principles Taxonomy Implementation Guide Series - Financial Services - Investment Companies (Including SEC S-X Schedules for Business Development Companies) provides an example of tagging for the consolidated statements of operations. Filers are encouraged to review their tagging of this statement and make necessary corrections. For more data quality reminders, see Staff Observations and Guidance.

Last Reviewed or Updated: Aug. 27, 2026