{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/350/30/#05-overview-and-background","source":"FASB Accounting Standards Codification, Basic View","usage":"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.","topic":"350","topic_title":"Intangibles—Goodwill and Other","subtopic":"350-30","subtopic_title":"General Intangibles Other Than Goodwill","section":{"number":"05","label":"05 Overview and Background","anchor":"05-overview-and-background","is_sec":false,"groups":[{"block":null,"heading":null,"paragraphs":[{"citation":"350-30-05-1","para":"05-1","html":"<div class=\"asc-body\"><div class=\"norm-text\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfragment_xd4_wkk_kyb\"><span class=\"sfragment-source\">This Subtopic addresses financial accounting and reporting for <a href=\"/glossary/i/#intangible-assets\" class=\"term\" title=\"Assets (not including financial assets) that lack physical substance. (The term intangible assets is used to refer to intangible assets other than goodwill.)\"><span>intangible assets</span></a> (other than <a href=\"/glossary/g/#goodwill\" class=\"term\" title=\"An asset representing the future economic benefits arising from other assets acquired in a business combination, acquired in an acquisition by a not-for-profit entity, or recognized by a joint venture upon formation that are not individually identified and separately recognized. For ease of reference, this term also includes the immediate charge recognized by not-for-profit entities in accordance with paragraph 958-805-25-29.\"><span>goodwill</span></a>) acquired individually or with a group of other assets </span></span><span class=\"sfragment\" id=\"sfragment_x4k_xkk_kyb\"><span class=\"sfragment-source\">and for the cost of developing, maintaining, or restoring internally generated intangible assets. </span></span>However, it does not discuss the recognition and initial measurement of intangible assets <span class=\"sfragment\" id=\"sfragment_grd_ykk_kyb\"><span class=\"sfragment-source\">acquired in a business combination, acquired in an <a href=\"/glossary/a/#acquisition-by-a-not-for-profit-entity\" class=\"term\" title=\"A transaction or other event in which a not-for-profit acquirer obtains control of one or more nonprofit activities or businesses and initially recognizes their assets and liabilities in the acquirer's financial statements. When applicable guidance in Topic 805 is applied by a not-for-profit entity, the term business combination has the same meaning as this term has for a for-profit entity. Likewise, a reference to business combinations in guidance that links to Topic 805 has the same meaning as a reference to acquisitions by not-for-profit entities.\"><span>acquisition by a not-for-profit entity</span></a>, </span></span><span class=\"sfragment\" id=\"sfragment_pwn_lmk_kyb\"><span class=\"sfragment-source\">or recognized by a <a href=\"/glossary/j/#joint-venture\" class=\"term\" title=\"An entity owned and operated by a small group of businesses (the joint venturers) as a separate and specific business or project for the mutual benefit of the members of the group. A government may also be a member of the group. The purpose of a joint venture frequently is to share risks and rewards in developing a new market, product, or technology; to combine complementary technological knowledge; or to pool resources in developing production or other facilities. A joint venture also usually provides an arrangement under which each joint venturer may participate, directly or indirectly, in the overall management of the joint venture. Joint venturers thus have an interest or relationship other than as passive investors. An entity that is a subsidiary of one of the joint venturers is not a joint venture. The ownership of a joint venture seldom changes, and its equity interests usually are not traded publicly. A minority public ownership, however, does not preclude an entity from being a joint venture. As distinguished from a corporate joint venture, a joint venture is not limited to corporate entities.\"><span>joint venture</span></a> upon formation. </span></span>This Subtopic also addresses financial accounting and reporting for intangible assets after their acquisition, including intangible assets acquired in a business combination, in an acquisition by a not-for-profit entity, <span class=\"sfragment\" id=\"GUID-4D11518A-9B9E-4A3B-890C-365E9A51C3B0\"><span class=\"sfragment-source\">or by a joint venture upon formation. </span></span></div></div></div>","snippet":"This Subtopic addresses financial accounting and reporting for intangible assets (other than goodwill) acquired individually or with a group of other assets and for the cost of developing, maintaining, or restoring inter…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:287618f999fdc3a33a543f6643e8f8238579076831fa6d9031b098c1e0251e98","downloaded_from":"2026-09-10T00:01:36.105Z","last_downloaded_at":"2026-09-10T00:01:36.105Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482638","source_sha256":"c2a5b52e7b9fb9c6c0085588bcc5dab394e045431405c5881da36c79e9ffab8e"}},{"citation":"350-30-05-2","para":"05-2","html":"<div class=\"asc-body\"><div class=\"norm-text\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfragment_gg2_5kk_kyb\"><span class=\"sfragment-source\">Guidance on the initial recognition and measurement of intangible assets acquired in a business combination or in an acquisition by a not-for-profit entity is provided in Subtopics <a altsource=\"GUID-4C20CF40-DD8D-4F61-94A7-35C477A5F96C.ditamap\" class=\"ditamap\">805-20</a> and <a altsource=\"GUID-8F421D1C-F467-4235-96C7-D5FDABFEFC13.ditamap\" class=\"ditamap\">958-805</a>, respectively. </span></span><span class=\"sfragment\" id=\"sfragment_ebh_mlk_kyb\"><span class=\"sfragment-source\">Guidance on the initial recognition and measurement of intangible assets by a joint venture upon formation is provided in Subtopic <a altsource=\"GUID-CE09B826-CDC8-43FF-A1EF-FB86248E753A.ditamap\" class=\"ditamap\">805-60</a>.</span></span></div></div></div>","snippet":"Guidance on the initial recognition and measurement of intangible assets acquired in a business combination or in an acquisition by a not-for-profit entity is provided in Subtopics 805-20 and 958-805, respectively. Guida…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:5adb39fa76d33adf5749f0419da2a5f05f38f60cc907d3295867f8918478cba4","downloaded_from":"2026-09-10T00:01:36.105Z","last_downloaded_at":"2026-09-10T00:01:36.105Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482638","source_sha256":"c2a5b52e7b9fb9c6c0085588bcc5dab394e045431405c5881da36c79e9ffab8e"}},{"citation":"350-30-05-3","para":"05-3","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_6D64FC54-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Intangible assets acquired individually or with a group of other assets should be recognized as assets in accordance with Section <a altsource=\"GUID-FCD0048E-D3A7-4989-86D9-E260C2CAF306.ditamap\" class=\"ditamap\">350-30-25</a>. Costs of developing internally generated intangible assets should be accounted for in accordance with paragraph <a href=\"/asc/350/30/#350-30-25-3\" class=\"xref\">350-30-25-3</a>. </span></span></div></div>","snippet":"Intangible assets acquired individually or with a group of other assets should be recognized as assets in accordance with Section 350-30-25. Costs of developing internally generated intangible assets should be accounted …","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:1f856ba650438b14e26c5e20ca42a24eb6dbe40e49c8dd601010d831d72edaa9","downloaded_from":"2026-09-10T00:01:36.105Z","last_downloaded_at":"2026-09-10T00:01:36.105Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482638","source_sha256":"c2a5b52e7b9fb9c6c0085588bcc5dab394e045431405c5881da36c79e9ffab8e"}},{"citation":"350-30-05-4","para":"05-4","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_6D64FD21-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">The accounting for an intangible asset after acquisition depends on its useful life. If that life is indefinite, the intangible asset should not be amortized but should be tested for impairment at least annually in accordance with paragraphs <div class=\"xref-range displayInline\"><a href=\"/asc/350/30/#350-30-35-15\" class=\"xref\">350-30-35-15 through 35-20</a></div>. If that life is finite, the intangible asset should be amortized in accordance with paragraphs <div class=\"xref-range displayInline\"><a href=\"/asc/350/30/#350-30-35-6\" class=\"xref\">350-30-35-6 through 35-13</a></div> and tested for impairment under the guidance for long-lived assets in Subtopic <a altsource=\"GUID-709FAAEC-8DFC-4054-A41F-EFA6FC5A716C.ditamap\" class=\"ditamap\">360-10</a>. </span></span></div></div>","snippet":"The accounting for an intangible asset after acquisition depends on its useful life. If that life is indefinite, the intangible asset should not be amortized but should be tested for impairment at least annually in accor…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:4fb5cbb475e43e3d4524d587fb3828951e10ddf6a6b3a692f7f923e9e5e53d98","downloaded_from":"2026-09-10T00:01:36.105Z","last_downloaded_at":"2026-09-10T00:01:36.105Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482638","source_sha256":"c2a5b52e7b9fb9c6c0085588bcc5dab394e045431405c5881da36c79e9ffab8e"}},{"citation":"350-30-05-5","para":"05-5","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_6D64FDE3-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">This Subtopic also includes guidance on the presentation of intangible assets in the balance sheet, presentation of amortization expense and impairment losses for intangible assets in the income statement, and disclosure of information on intangible assets in the notes to financial statements. </span></span></div></div>","snippet":"This Subtopic also includes guidance on the presentation of intangible assets in the balance sheet, presentation of amortization expense and impairment losses for intangible assets in the income statement, and disclosure…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:e92f9696ecd2fedb0082895ad0b7a6dd7225d69475ad02d9fc69579ab975456e","downloaded_from":"2026-09-10T00:01:36.105Z","last_downloaded_at":"2026-09-10T00:01:36.105Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482638","source_sha256":"c2a5b52e7b9fb9c6c0085588bcc5dab394e045431405c5881da36c79e9ffab8e"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:603618aa659c21252387c7750eeed8d37ae5fc2c78f3501da2610fe5c7c2537d","downloaded_from":"2026-09-10T00:01:36.105Z","last_downloaded_at":"2026-09-10T00:01:36.105Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482638","source_sha256":"c2a5b52e7b9fb9c6c0085588bcc5dab394e045431405c5881da36c79e9ffab8e"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:a07ef0cab8412e9381deed39439e9fe0ed199ebb08e91921e4f194d0df081352","downloaded_from":"2026-09-10T00:01:36.105Z","last_downloaded_at":"2026-09-10T00:01:36.105Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482638","source_sha256":"c2a5b52e7b9fb9c6c0085588bcc5dab394e045431405c5881da36c79e9ffab8e"}},"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:a07ef0cab8412e9381deed39439e9fe0ed199ebb08e91921e4f194d0df081352","downloaded_from":"2026-09-10T00:01:36.105Z","last_downloaded_at":"2026-09-10T00:01:36.105Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147482638","source_sha256":"c2a5b52e7b9fb9c6c0085588bcc5dab394e045431405c5881da36c79e9ffab8e"}}