{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/720/25/#55-implementation-guidance-and-illustrations","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":"720","topic_title":"Other Expenses","subtopic":"720-25","subtopic_title":"Contributions Made","section":{"number":"55","label":"55 Implementation Guidance and Illustrations","anchor":"55-implementation-guidance-and-illustrations","is_sec":false,"groups":[{"block":null,"heading":"Implementation Guidance","paragraphs":[{"citation":"720-25-55-1","para":"55-1","html":"<div class=\"asc-body\"><div class=\"norm-text\"> <span class=\"sfragment\" id=\"sfr_03FA6591-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">See paragraph <a href=\"/asc/720/958/#720-958-55-1A\" class=\"xref\">958-720-55-1A</a> for a diagram that depicts the process for determining whether a <a href=\"/glossary/c/#contribution\" class=\"term\" title=\"An unconditional transfer of cash or other assets, as well as unconditional promises to give, to an entity or a reduction, settlement, or cancellation of its liabilities in a voluntary nonreciprocal transfer by another entity acting other than as an owner. Those characteristics distinguish contributions from:Exchange transactions, which are reciprocal transfers in which each party receives and sacrifices approximately commensurate valueInvestments by owners and distributions to owners, which are nonreciprocal transfers between an entity and its ownersOther nonreciprocal transfers, such as impositions of taxes or legal judgments, fines, and thefts, which are not voluntary transfers. In a contribution transaction, the resource provider often receives value indirectly by providing a societal benefit although that benefit is not considered to be of commensurate value. In an exchange transaction, the potential public benefits are secondary to the potential direct benefits to the resource provider. The term contribution revenue is used to apply to transactions that are part of the entity's ongoing major or central activities (revenues), or are peripheral or incidental to the entity (gains). See also Inherent Contribution and Conditional Contribution.\"><span>contribution</span></a> is conditional in addition to distinguishing contributions from exchange transactions. Paragraphs <div class=\"xref-range displayInline\"><a href=\"/asc/605/958/#605-958-55-4\" class=\"xref\">958-605-55-4 through 55-6</a></div> and <a href=\"/asc/605/958/#605-958-55-13A\" class=\"xref\">958-605-55-13A through 55-14I</a> provide additional guidance and illustrations on what is a <a href=\"/glossary/c/#conditional-contribution\" class=\"term\" title=\"A contribution that contains a donor-imposed condition.\"><span>conditional contribution</span></a>.</span></span> </div> </div>","snippet":"See paragraph 958-720-55-1A for a diagram that depicts the process for determining whether a contribution is conditional in addition to distinguishing contributions from exchange transactions. Paragraphs 958-605-55-4 thr…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:fb07cbfb36c24fd2edf6f5b4440b21ac1fc3ec4deb77584de734963ee381b5ef","downloaded_from":"2026-09-10T01:08:09.526Z","last_downloaded_at":"2026-09-10T01:08:09.526Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483410","source_sha256":"66664275deca94742d17c94753505fe543970d470bb4aab49875e412eec5998e"}},{"citation":"720-25-55-2","para":"55-2","html":"<div class=\"asc-body\"><div class=\"norm-text\"> <span class=\"sfragment\" id=\"sfr_03FA66A3-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">See paragraphs <div class=\"xref-range displayInline\"><a href=\"/asc/605/958/#605-958-55-17A\" class=\"xref\">958-605-55-17A through 55-17F</a></div> and <div class=\"xref-range displayInline\"><a href=\"/asc/605/958/#605-958-55-70A\" class=\"xref\">958-605-55-70A through 55-70T</a></div> for implementation guidance and illustrations on determining whether a contribution is conditional. That guidance applies to contributions made by a resource provider (for example, a corporate foundation, a corporation, or a <a href=\"/glossary/n/#not-for-profit-entity\" class=\"term\" title=\"An entity that possesses the following characteristics, in varying degrees, that distinguish it from a business entity: Contributions of significant amounts of resources from resource providers who do not expect commensurate or proportionate pecuniary return Operating purposes other than to provide goods or services at a profit Absence of ownership interests like those of business entities. Entities that clearly fall outside this definition include the following: All investor-owned entities Entities that provide dividends, lower costs, or other economic benefits directly and proportionately to their owners, members, or participants, such as mutual insurance entities, credit unions, farm and rural electric cooperatives, and employee benefit plans.\"><span>not-for-profit entity</span></a> [NFP]) as well as contributions received by a recipient.</span></span> </div> </div>","snippet":"See paragraphs 958-605-55-17A through 55-17F and 958-605-55-70A through 55-70T for implementation guidance and illustrations on determining whether a contribution is conditional. That guidance applies to contributions ma…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:9e48e38fa1a8841f73b60f609f988deff602fe0572976863a1d8777cac6fbc2f","downloaded_from":"2026-09-10T01:08:09.526Z","last_downloaded_at":"2026-09-10T01:08:09.526Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483410","source_sha256":"66664275deca94742d17c94753505fe543970d470bb4aab49875e412eec5998e"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:9a04ab3b54da8d432a76d6c5820b8ee85ba3447bc5685ff06406003f7b48505c","downloaded_from":"2026-09-10T01:08:09.526Z","last_downloaded_at":"2026-09-10T01:08:09.526Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483410","source_sha256":"66664275deca94742d17c94753505fe543970d470bb4aab49875e412eec5998e"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:64c10b516a4f473d4f49ec097393157c61da8f144ece73eef049bc22e1527bd9","downloaded_from":"2026-09-10T01:08:09.526Z","last_downloaded_at":"2026-09-10T01:08:09.526Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483410","source_sha256":"66664275deca94742d17c94753505fe543970d470bb4aab49875e412eec5998e"}},"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:64c10b516a4f473d4f49ec097393157c61da8f144ece73eef049bc22e1527bd9","downloaded_from":"2026-09-10T01:08:09.526Z","last_downloaded_at":"2026-09-10T01:08:09.526Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147483410","source_sha256":"66664275deca94742d17c94753505fe543970d470bb4aab49875e412eec5998e"}}