The Scope Section of the Overall Subtopic establishes the scope for this Topic.
If an entity determines that the accounting for a transaction with a government is not specified within the scope of authoritative generally accepted accounting principles (GAAP), paragraph 105-10-05-2 requires that the entity first consider accounting principles for similar transactions or events within an authoritative source of GAAP for that entity and then consider nonauthoritative guidance from other sources. (P) December 16, 2028; (N) December 16, 2029
832-10-65-2The guidance in this Topic applies to all government grants received by entities within the scope of this Topic.The guidance in this Topic applies to entities that have accounted for transactions with a government by analogizing to a grant or contribution accounting model (for example, a grant model within IFRS Standards or a contribution model within Subtopic 958-605 on not-for-profit entities—revenue recognition). (P) December 16, 2028; (N) December 16, 2029
832-10-65-2The guidance in this Topic does not apply to the following:- a
Transactions within the scope of Topic 740 on income taxes (for example, nonrefundable, nontransferable income tax credits) - b
The benefit of below-market interest rate loans
- c
Government guarantees.
(P) December 16, 2027; (N) December 16, 2028
818-10-65-1The guidance in this Topic does not apply to the following:- a
Transactions within the scope of Topic 740 on income taxes (for example, nonrefundable, nontransferable income tax credits) - b
The benefit of below-market interest rate loans
- c
Government guarantees
- d
Transactions with a government, as used in this Topic, include assistance that is administered by domestic, foreign, local (for example, city, town, county, and municipal), regional (for example, state, provincial, and territorial), and national (federal) governments and entities related to those governments. Examples of entities related to governments include departments, independent agencies, boards, commissions, and component units. Government assistance also can be administered by intergovernmental organizations and other types of organizations such as nongovernmental organizations or government-sponsored enterprises that have authority from a government to administer assistance on its behalf.
(P) December 16, 2028; (N) December 16, 2029
832-10-65-2A government grant, as used in this Topic, includes grants that are administered by domestic, foreign, local (for example, city, town, county, and municipal), regional (for example, state, provincial, and territorial), and national (federal) governments and entities related to those governments. Examples of entities related to governments include departments, independent agencies, boards, commissions, and component units. A government grant also can be administered by intergovernmental organizations and other types of organizations such as nongovernmental organizations or government-sponsored enterprises that have authority from a government to administer grants on its behalf.