# ASC 220-20: Income Statement—Reporting Comprehensive Income — Unusual or Infrequently Occurring Items Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/220/20/) Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective. Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure. Source downloaded (UTC): 2026-09-09T23:04:10.348Z to 2026-09-09T23:04:29.662Z Record version: sha256:2f535e6b452a31dd96d7686d8a8bad3baa7c8d3ef5c7f5435748dea056321b13 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 220-20: Income Statement—Reporting Comprehensive Income — Unusual or Infrequently Occurring Items ### Machine-generated study aids ```json { "summary": "ASC 220-20 governs how an entity presents and discloses material events or transactions that are unusual in nature, infrequent in occurrence, or both. Such items must be reported as a separate component of income from continuing operations, with their nature and financial effects either shown on the face of the income statement or disclosed in the notes (220-20-45-1; 220-20-50-1). They may not be presented net of tax on the face of the income statement, and their per-share effects may not be shown there.", "key_points": [ "A material event or transaction of an unusual nature or of a type indicating infrequency of occurrence (or both) shall be reported as a separate component of income from continuing operations (220-20-45-1).", "The nature and financial effects of each such event or transaction must be either presented as a separate component of income from continuing operations or disclosed in the notes (220-20-45-1; 220-20-50-1).", "Gains or losses of a similar nature that are not individually material shall be aggregated (220-20-45-1).", "Such items shall not be reported on the face of the income statement net of income taxes, and their EPS effects shall not be presented on the face of the income statement (220-20-45-1).", "Unusual nature is judged against the entity's own environment—industry, geography, and governmental regulation—so an item may be unusual for one entity but not another; being beyond management's control does not by itself establish unusual nature (220-20-55-1).", "An event or transaction of a type not reasonably expected to recur in the foreseeable future occurs infrequently; past occurrence is evidence of the probability of recurrence (220-20-55-2).", "Interim period income taxes on significant unusual or infrequently occurring items are computed under paragraphs 740-270-30-8 through 30-12 (220-20-60-1); a pending amendment extends the disclosure to interim financial statements (transition guidance 270-10-65-1)." ], "categories": [ "Presentation", "Disclosure", "Financial statement presentation", "Income taxes" ], "audience_level": "introductory", "student_note": "Since the FASB eliminated the \"extraordinary items\" category, these items stay inside income from continuing operations—a common exam trap is showing them below the line or net of tax with an EPS figure, both of which 220-20-45-1 forbids. Remember the unusual/infrequent assessment is entity- and environment-specific, not absolute.", "related_topics": [ "220-10", "740-270", "270-10", "225-20", "360-10" ], "key_concepts": [ "unusual nature", "infrequency of occurrence", "income from continuing operations", "separate component presentation", "note disclosure", "entity environment", "net-of-tax prohibition", "earnings per share effects" ] } ``` Source downloaded (UTC): 2026-09-09T23:04:10.348Z to 2026-09-09T23:04:10.348Z Record version: sha256:785221985800eda92e089339bd6c93dc8b36a5efdbc78b9f93105a9e01a586f8 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 220-20-00: 00 Status [Read section](https://asc.understandingaccounting.org/asc/220/20/#00-status) SEC content: no ##### [220-20-00-1](https://asc.understandingaccounting.org/asc/220/20/#220-20-00-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:04:10.348Z to 2026-09-09T23:04:10.348Z Record version: sha256:dcb115b23f4cab2d7f4efd5f4311dafd543458eaefd9ff26f8028543a46ec3d2 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The following table identifies the changes made to this Subtopic.
ParagraphActionAccounting Standards UpdateDate
Infrequency of OccurrenceAddedMaintenance Update 2017-19 (PDF)11/15/2017
Unusual NatureAddedMaintenance Update 2017-19 (PDF)11/15/2017
220-20-05-1AddedMaintenance Update 2017-19 (PDF)11/15/2017
220-20-15-1AddedMaintenance Update 2017-19 (PDF)11/15/2017
220-20-45-1AmendedMaintenance Update 2020-18 (PDF)11/25/2020
220-20-45-1AddedMaintenance Update 2017-19 (PDF)11/15/2017
220-20-50-1AmendedAccounting Standards Update No. 2025-1112/08/2025
220-20-50-1AddedMaintenance Update 2017-19 (PDF)11/15/2017
220-20-55-1 through 55-3
AddedMaintenance Update 2017-19 (PDF)11/15/2017
220-20-60-1AddedMaintenance Update 2017-19 (PDF)11/15/2017
Source downloaded (UTC): 2026-09-09T23:04:12.456Z to 2026-09-09T23:04:12.456Z Record version: sha256:f9b77c3f1073447822d46fe2e6388339ee63bfa2a5c3c4485cc7808c93ec7b36 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 220-20-05: 05 Overview and Background [Read section](https://asc.understandingaccounting.org/asc/220/20/#05-overview-and-background) SEC content: no ##### [220-20-05-1](https://asc.understandingaccounting.org/asc/220/20/#220-20-05-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:04:12.456Z to 2026-09-09T23:04:12.456Z Record version: sha256:eca587b75ef3e86454c0040d3044c3c2ea6768b9ff9c8b6e06654cb14b4eea8e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Subtopic addresses the presentation and disclosure of unusual and infrequently occurring items. Source downloaded (UTC): 2026-09-09T23:04:15.233Z to 2026-09-09T23:04:15.233Z Record version: sha256:fa3e1fb8f7ecb071fa4390d6336e670ac00a17cf8e9fa94a33155664dbb4b548 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 220-20-15: 15 Scope and Scope Exceptions [Read section](https://asc.understandingaccounting.org/asc/220/20/#15-scope-and-scope-exceptions) SEC content: no #### Overall Guidance ##### [220-20-15-1](https://asc.understandingaccounting.org/asc/220/20/#220-20-15-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:04:15.233Z to 2026-09-09T23:04:15.233Z Record version: sha256:1f103263387847ae81684ef8d2af93becbb7f315905db38b45bc8f8966d0ac1e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The guidance in this Subtopic follows the same Scope and Scope Exceptions as outlined in the Overall Subtopic, see Section 220-10-15. Source downloaded (UTC): 2026-09-09T23:04:19.748Z to 2026-09-09T23:04:19.748Z Record version: sha256:1ea01d2a15c40acf2029c300807b62a90774dccf24f598999634791f9760c4fd Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 220-20-45: 45 Other Presentation Matters [Read section](https://asc.understandingaccounting.org/asc/220/20/#45-other-presentation-matters) SEC content: no #### Presentation of Unusual or Infrequently Occurring Items ##### [220-20-45-1](https://asc.understandingaccounting.org/asc/220/20/#220-20-45-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:04:19.748Z to 2026-09-09T23:04:19.748Z Record version: sha256:28e727490e917eca7c4abec5eb60900ce013d8727329da18454afdfc1635b70f Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. A material event or transaction that an entity considers to be of an [unusual nature](https://asc.understandingaccounting.org/glossary/u/#unusual-nature "The underlying event or transaction should possess a high degree of abnormality and be of a type clearly unrelated to, or only incidentally related to, the ordinary and typical activities of the entity, taking into account the environment in which the entity operates (see paragraph 220-20-60-1).") or of a type that indicates [infrequency of occurrence](https://asc.understandingaccounting.org/glossary/i/#infrequency-of-occurrence "The underlying event or transaction should be of a type that would not reasonably be expected to recur in the foreseeable future, taking into account the environment in which the entity operates (see paragraph 220-20-60-1).") or both shall be reported as a separate component of income from continuing operations. The nature and financial effects of each event or transaction shall be presented as a separate component of income from continuing operations or, alternatively, disclosed in notes to financial statements (see paragraph [220-20-50-1](https://asc.understandingaccounting.org/asc/220/20/#220-20-50-1)). Gains or losses of a similar nature that are not individually material shall be aggregated. Such items shall not be reported on the face of the income statement net of income taxes. Similarly, the EPS effects of those items shall not be presented on the face of the income statement. Source downloaded (UTC): 2026-09-09T23:04:21.720Z to 2026-09-09T23:04:21.720Z Record version: sha256:df35b893d1409f4fb01804ade6ab1c6792e3ac71dd06614945b58373592586f7 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 220-20-50: 50 Disclosure [Read section](https://asc.understandingaccounting.org/asc/220/20/#50-disclosure) SEC content: no #### Unusual or Infrequently Occurring Items ##### [220-20-50-1](https://asc.understandingaccounting.org/asc/220/20/#220-20-50-1) Pending content: yes Source downloaded (UTC): 2026-09-09T23:04:21.720Z to 2026-09-09T23:04:21.720Z Record version: sha256:af5e04307c570eb89ffda59977d1a9658b6f693dd11784240421a057b8269230 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The nature and financial effects of each event or transaction that is unusual in nature or occurs infrequently or both shall be presented as a separate component of income from continuing operations or, alternatively, disclosed in notes to the financial statements. Transition date:(P) December 16, 2027; (N) December 16, 2028Transition guidance: [270-10-65-1](https://asc.understandingaccounting.org/asc/270/10/#270-10-65-1)The nature and financial effects of each event or transaction that is unusual in nature or occurs infrequently or both shall be presented as a separate component of income from continuing operations or, alternatively, disclosed in notes to the interim and annual financial statements. Source downloaded (UTC): 2026-09-09T23:04:25.555Z to 2026-09-09T23:04:25.555Z Record version: sha256:7bcde464c25b110fc6c5a967d7d6b8dcce18c266662275185f0c618206085a05 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 220-20-55: 55 Implementation Guidance and Illustrations [Read section](https://asc.understandingaccounting.org/asc/220/20/#55-implementation-guidance-and-illustrations) SEC content: no #### Implementation Guidance ##### [220-20-55-1](https://asc.understandingaccounting.org/asc/220/20/#220-20-55-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:04:25.555Z to 2026-09-09T23:04:25.555Z Record version: sha256:d5ce8a70f98275bdce67b29c6b20246959f4197af7e62de74039f179047777b7 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The specific characteristics of the entity, such as type and scope of operations, lines of business, and operating policies should be considered in determining ordinary and typical activities of an entity. The environment in which an entity operates is a primary consideration in determining whether an underlying event or transaction is abnormal and significantly different from the ordinary and typical activities of the entity. The environment of an entity includes such factors as the characteristics of the industry or industries in which it operates, the geographical location of its operations, and the nature and extent of governmental regulation. Thus, an event or transaction may be unusual in nature for one entity but not for another because of differences in their respective environments. [Unusual nature](https://asc.understandingaccounting.org/glossary/u/#unusual-nature "The underlying event or transaction should possess a high degree of abnormality and be of a type clearly unrelated to, or only incidentally related to, the ordinary and typical activities of the entity, taking into account the environment in which the entity operates (see paragraph 220-20-60-1).") is not established by the fact that an event or transaction is beyond the control of management. ##### [220-20-55-2](https://asc.understandingaccounting.org/asc/220/20/#220-20-55-2) Pending content: no Source downloaded (UTC): 2026-09-09T23:04:25.555Z to 2026-09-09T23:04:25.555Z Record version: sha256:ab20423afc19389cb8fdeac0b7f70c0c395278f81392529cdbc541fecbba93d6 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For purposes of this Subtopic, an event or transaction of a type not reasonably expected to recur in the foreseeable future is considered to occur infrequently. Determining the probability of recurrence of a particular event or transaction in the foreseeable future should take into account the environment in which an entity operates. Accordingly, a specific transaction of one entity might meet that criterion and a similar transaction of another entity might not because of different probabilities of recurrence. The past occurrence of an event or transaction for a particular entity provides evidence to assess the probability of recurrence of that type of event or transaction in the foreseeable future. ##### [220-20-55-3](https://asc.understandingaccounting.org/asc/220/20/#220-20-55-3) Pending content: no Source downloaded (UTC): 2026-09-09T23:04:25.555Z to 2026-09-09T23:04:25.555Z Record version: sha256:0f56deaada004814228b6151cf4814cfd347fbd6777b2ab2f66e7694b58e3c8b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The following are illustrative of events or transactions that are unusual in nature or occur infrequently: 1. a A large portion of a tobacco manufacturer's crops are destroyed by a hail storm. Severe damage from hail storms in the locality where the manufacturer grows tobacco is rare. 2. b A steel fabricating entity sells the only land it owns. The land was acquired 10 years ago for future expansion, but shortly thereafter the entity abandoned all plans for expansion and held the land for appreciation. 3. c An earthquake destroys one of the oil refineries owned by a large multinational oil entity. Source downloaded (UTC): 2026-09-09T23:04:27.382Z to 2026-09-09T23:04:27.382Z Record version: sha256:177dbbfeabf62f0961ed789aa107165ce6d9b933fa0c3536087de096d273f268 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 220-20-60: 60 Relationships [Read section](https://asc.understandingaccounting.org/asc/220/20/#60-relationships) SEC content: no #### Income Taxes ##### [220-20-60-1](https://asc.understandingaccounting.org/asc/220/20/#220-20-60-1) Pending content: no Source downloaded (UTC): 2026-09-09T23:04:27.382Z to 2026-09-09T23:04:27.382Z Record version: sha256:76be939972f98c493573e207bef5ec738c7082bc6cb4509f36fd316e3cea3257 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For guidance on the computation of interim period income taxes applicable to significant unusual or infrequently occurring items, see paragraphs [740-270-30-8 through 30-12](https://asc.understandingaccounting.org/asc/270/740/#270-740-30-8) .