{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/818/10/#15-scope-and-scope-exceptions","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":"818","topic_title":"Environmental Credits and Environmental Credit Obligations","subtopic":"818-10","subtopic_title":"Overall","section":{"number":"15","label":"15 Scope and Scope Exceptions","anchor":"15-scope-and-scope-exceptions","is_sec":false,"groups":[{"block":null,"heading":null,"paragraphs":[{"citation":"818-10-15-1","para":"15-1","html":"<div class=\"asc-body\"><div class=\"div pending-text\" id=\"pgroup_d15e28__GUID-4DCABD2B-81DA-45AB-9631-695C5DDF765A\"><div class=\"div date-effective\"><span class=\"transition-header\">Transition date:</span><span class=\"p-alphabet\">(P) December 16, 2027; (N) December 16, 2028</span><span class=\"transition-header pipe-separator\">Transition guidance:</span></div><a href=\"/asc/818/10/#818-10-65-1\" class=\"xref\">818-10-65-1</a><span class=\"sfragment\" id=\"GUID-88C54112-C864-4389-B044-F9065E7CFFB4\"><span class=\"sfragment-source\">The guidance in this Topic applies to all <a href=\"/glossary/e/#environmental-credit\" class=\"term\" title=\"(P) December 16, 2027; (N) December 16, 2028818-10-65-1An enforceable right that is acquired, internally generated, granted by a regulatory agency or its designee(s), or received in a nonreciprocal transfer that is not a grant from a regulator or its designee(s) that meets all of the following criteria:Lacks physical substance and is not a financial asset.Is represented to prevent, control, reduce, or remove emissions or other pollution.Is, or previously was, separately transferable in an exchange transaction. If an item is no longer separately transferable in an exchange transaction, an entity must be able to use that item to satisfy an environmental credit obligation to meet this criterion.Is not an income tax credit that may be used to settle an entity’s income tax liability, regardless of whether the entity has a tax liability or intends to use the credit for that purpose.An environmental credit that meets the above criteria may exist in a variety of forms, including (but not limited to) credits, certificates, allowances, and offsets.\"><span>environmental credits</span></a> and <a href=\"/glossary/e/#environmental-credit-obligation\" class=\"term\" title=\"(P) December 16, 2027; (N) December 16, 2028818-10-65-1A regulatory compliance obligation arising from existing or enacted laws, statutes, or ordinances represented to prevent, control, reduce, or remove emissions or other pollution that may be settled with environmental credits. Obligations within the scope of Subtopic 410-30 are not environmental credit obligations.\"><span>environmental credit obligations</span></a>. </span></span></div></div>","snippet":"Transition date:(P) December 16, 2027; (N) December 16, 2028Transition guidance:818-10-65-1The guidance in this Topic applies to all environmental credits and environmental credit obligations.","pending":true,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:55fb21f31b7dd6f8360c05c8f5b8e3fe49ed952c399521d301036d39aba77d1e","downloaded_from":"2026-09-10T01:41:47.182Z","last_downloaded_at":"2026-09-10T01:41:47.182Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147476121","source_sha256":"2cac939fe4ad58bd7716d15e13005821e2e7b20d86e5b14ed92079d3ade42544"}},{"citation":"818-10-15-2","para":"15-2","html":"<div class=\"asc-body\"><div class=\"div pending-text\" id=\"pgroup_d15e28__GUID-AC36F5EE-2CC9-44BF-B06E-2337EED4E0E0\"><div class=\"div date-effective\"><span class=\"transition-header\">Transition date:</span><span class=\"p-alphabet\">(P) December 16, 2027; (N) December 16, 2028</span><span class=\"transition-header pipe-separator\">Transition guidance:</span></div><a href=\"/asc/818/10/#818-10-65-1\" class=\"xref\">818-10-65-1</a><span class=\"sfragment\" id=\"GUID-43149BB1-AA61-4BB2-9FDC-0F54777D73C2\"><span class=\"sfragment-source\">See paragraph <a href=\"/asc/818/10/#818-10-55-1\" class=\"xref\">818-10-55-1</a> for implementation guidance on the application of the scope of this Topic. </span></span></div></div>","snippet":"Transition date:(P) December 16, 2027; (N) December 16, 2028Transition guidance:818-10-65-1See paragraph 818-10-55-1 for implementation guidance on the application of the scope of this Topic.","pending":true,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:9b8c732d9c9559736067669b94882fdb62c0c4291d488cbc63be64c75111bcc8","downloaded_from":"2026-09-10T01:41:47.182Z","last_downloaded_at":"2026-09-10T01:41:47.182Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147476121","source_sha256":"2cac939fe4ad58bd7716d15e13005821e2e7b20d86e5b14ed92079d3ade42544"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:59deb9ad80a4b175682aa5fd0e2502ec26a4137d8f9b499fc07cf6e61d3146c4","downloaded_from":"2026-09-10T01:41:47.182Z","last_downloaded_at":"2026-09-10T01:41:47.182Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147476121","source_sha256":"2cac939fe4ad58bd7716d15e13005821e2e7b20d86e5b14ed92079d3ade42544"}},{"block":null,"heading":"Other Considerations","paragraphs":[{"citation":"818-10-15-3","para":"15-3","html":"<div class=\"asc-body\"><div class=\"div pending-text\" id=\"pgroup_xmd_m2y_x3c__GUID-78A553B8-575F-442E-A322-3FB573F2EAF1\"><div class=\"div date-effective\"><span class=\"transition-header\">Transition date:</span><span class=\"p-alphabet\">(P) December 16, 2027; (N) December 16, 2028</span><span class=\"transition-header pipe-separator\">Transition guidance:</span></div><a href=\"/asc/818/10/#818-10-65-1\" class=\"xref\">818-10-65-1</a><span class=\"sfragment\" id=\"GUID-3E8A79D6-97E6-4AE3-9A78-F1CCD3D33661\"><span class=\"sfragment-source\">Environmental credits and environmental credit obligations that are within the scope of this Topic are outside the scope of Topic <a altsource=\"GUID-128369CC-8E3A-4A7E-8F25-33E42B0761E4.ditamap\" class=\"ditamap\">815</a> on derivatives and hedging in accordance with paragraph <a href=\"/asc/815/10/#815-10-15-82B\" class=\"xref\">815-10-15-82B</a>. </span></span></div></div>","snippet":"Transition date:(P) December 16, 2027; (N) December 16, 2028Transition guidance:818-10-65-1Environmental credits and environmental credit obligations that are within the scope of this Topic are outside the scope of Topic…","pending":true,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:8fb45af7221a0917ff89ae0e8c79aa7217ebf21d446d8eb173ed21e2ee7a42ff","downloaded_from":"2026-09-10T01:41:47.182Z","last_downloaded_at":"2026-09-10T01:41:47.182Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147476121","source_sha256":"2cac939fe4ad58bd7716d15e13005821e2e7b20d86e5b14ed92079d3ade42544"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:9108eedcc4f428fa736b8eef119ce0346c46cca01bceaae467f021f9aab7acf2","downloaded_from":"2026-09-10T01:41:47.182Z","last_downloaded_at":"2026-09-10T01:41:47.182Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147476121","source_sha256":"2cac939fe4ad58bd7716d15e13005821e2e7b20d86e5b14ed92079d3ade42544"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:dd23ff9d19916c7b6b4a1b0baa3c57837be300f3023f2c01a6d4849ea9487cd0","downloaded_from":"2026-09-10T01:41:47.182Z","last_downloaded_at":"2026-09-10T01:41:47.182Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147476121","source_sha256":"2cac939fe4ad58bd7716d15e13005821e2e7b20d86e5b14ed92079d3ade42544"}},"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:dd23ff9d19916c7b6b4a1b0baa3c57837be300f3023f2c01a6d4849ea9487cd0","downloaded_from":"2026-09-10T01:41:47.182Z","last_downloaded_at":"2026-09-10T01:41:47.182Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147476121","source_sha256":"2cac939fe4ad58bd7716d15e13005821e2e7b20d86e5b14ed92079d3ade42544"}}