An entity shall provide the disclosures required by this Topic for annual periods.
The objective of disclosures about an entity's transactions with a government within the scope of this Topic is to provide information that enables an investor or other financial statement user to better assess all the following:- a
The nature of the transactions, the related accounting policies used to account for the transactions, and the effect of the transactions on an entity's financial statements
- b
Significant terms and conditions of the transactions.
(P) December 16, 2028; (N) December 16, 2029
832-10-65-2The objective of disclosures about a government grantis to provide information that enables an investor or other financial statement user to better assess all the following:- a
The nature of the grant, the related accounting policies used to account for the grant, and the effect of the grant on an entity's financial statements
- b
Significant terms and conditions of the grant.
An entity shall disclose the following about transactions with a government within the scope of this Topic:- a
The nature of the transactions, including a general description of the transactions and the form in which the assistance has been received (for example, cash or other assets)
- b
The accounting policies used to account for the transactions as required by paragraph 235-10-50-1 - c
The line items on the balance sheet and income statement that are affected by the transactions, and the amounts applicable to each financial statement line item in the current reporting period.
(P) December 16, 2028; (N) December 16, 2029
832-10-65-2| Editor's Note: Paragraph 832-10-50-3 will be amended upon transition, together with its heading: |
| > Nature of the Government Grant, Related Accounting Policies, and Effect on Financial Statement Amounts |
An entity shall disclose the following about a government grant:- a
The nature of the grant, including a general description of the grant and the form in which the grant has been received (for example, cash or tangible nonmonetary assets)
- b
The accounting policies used to account for the grant as required by paragraph 235-10-50-1(for example, for a grant related to an asset, whether the deferred income approach or the cost accumulation approach is applied or for a grant related to income, whether the grant is presented separately under a general heading such as other income or deducted from the related expense). - c
(P) December 16, 2028; (N) December 16, 2029
832-10-65-2For a grant related to an asset that is accounted for using the deferred income approach in accordance with paragraph 832-10-25-4(a) or a grant related to income, an entity shall disclose the line items on the balance sheet and income statement that are affected by the grant and the amounts applicable to each financial statement line item in the current reporting period. (P) December 16, 2028; (N) December 16, 2029
832-10-65-2For a grant related to an asset that is accounted for using the cost accumulation approach in accordance with paragraph 832-10-25-4(b), an entity shall disclose, in the period in which the government grant is recognized on the balance sheet, the following:- a
The line items on the balance sheet that are affected by the grant and the amounts applicable to each financial statement line item
- b
The useful life of any related depreciable or amortizable asset.
(P) December 16, 2028; (N) December 16, 2029
832-10-65-2An entity shall disclose the fair value of a tangible nonmonetary asset that is received as a government grant in the period in which the grant is recognized on the balance sheet, even if the cost accumulation approach is applied.An entity shall disclose information about the significant terms and conditions of transactions with a government within the scope of this Topic. Terms and conditions that might be appropriate to disclose include, but are not limited to, any of the following:- a
The duration or period of the agreement
- b
Commitments made by both the reporting entity and the government
- c
Provisions, if any, for recapture (for example, when the government can recapture amounts awarded), including the conditions under which recapture is allowed
- d
Other contingencies.
(P) December 16, 2028; (N) December 16, 2029
832-10-65-2An entity shall disclose information about the significant terms and conditions of a government grant. Terms and conditions that might be appropriate to disclose include, but are not limited to, any of the following:- a
The duration or period of the grant
- b
Commitments made by both the reporting entity and the government
- c
Provisions, if any, for recapture (for example, when the government can recapture amounts awarded), including the conditions under which recapture is allowed
- d
Other contingencies.