{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/958/30/#45-other-presentation-matters","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":"958","topic_title":"Not-for-Profit Entities","subtopic":"958-30","subtopic_title":"Split-Interest Agreements","section":{"number":"45","label":"45 Other Presentation Matters","anchor":"45-other-presentation-matters","is_sec":false,"groups":[{"block":null,"heading":"Classification of Net Assets","paragraphs":[{"citation":"958-30-45-1","para":"45-1","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_32F133D0-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\"><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> revenues recognized under <a href=\"/glossary/s/#split-interest-agreement\" class=\"term\" title=\"An agreement in which a donor enters into a trust or other arrangement under which a not-for-profit entity (NFP) receives benefits that are shared with other beneficiaries. A typical split-interest agreement has the following two components: A lead interest A remainder interest.\"><span>split-interest agreements</span></a> shall be classified as increases in <a href=\"/glossary/n/#net-assets-with-donor-restrictions\" class=\"term\" title=\"The part of net assets of a not-for-profit entity that is subject to donor-imposed restrictions (donors include other types of contributors, including makers of certain grants).\"><span>net assets with donor restrictions</span></a> unless</span></span><span class=\"sfragment\" id=\"sfr_32F13563-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">the donor gives the <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) the immediate right to use, without restrictions, the assets it receives, in which case the contribution shall be classified as an increase in <a href=\"/glossary/n/#net-assets-without-donor-restrictions\" class=\"term\" title=\"The part of net assets of a not-for-profit entity that is not subject to donor-imposed restrictions (donors include other types of contributors, including makers of certain grants).\"><span>net assets without donor restrictions</span></a>. </span></span><ol class=\"ol-norm\"><li class=\"li-norm\"><span class=\"linum\">a</span><div class=\"p\"><a href=\"/updates/asu-2016-14/\" class=\"xref\">Subparagraph superseded by Accounting Standards Update No. 2016-14</a>. </div></li><li class=\"li-norm\"><span class=\"linum\">b</span><div class=\"p\"><a href=\"/updates/asu-2016-14/\" class=\"xref\">Subparagraph superseded by Accounting Standards Update No. 2016-14</a>. </div></li></ol></div></div>","snippet":"Contribution revenues recognized under split-interest agreements shall be classified as increases in net assets with donor restrictions unlessthe donor gives the not-for-profit entity (NFP) the immediate right to use, wi…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:8dace40fc4b36588e4e77761bd1b4195151ce9c09e51c971b8d34b05fd071bb8","downloaded_from":"2026-09-10T02:22:18.202Z","last_downloaded_at":"2026-09-10T02:22:18.202Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147480585","source_sha256":"dc25a71bbb614ee122fac8ccf4fe82c26d731934deab71edcc84029aec34e958"}},{"citation":"958-30-45-2","para":"45-2","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_32F136E0-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Under many <a href=\"/glossary/c/#charitable-gift-annuity\" class=\"term\" title=\"A transfer of assets to a not-for-profit entity (NFP) in connection with a split-interest agreement that is in part a contribution and in part an exchange transaction. The NFP accepts the contribution and is obligated to make periodic stipulated payments to the donor or a third-party beneficiary for a specified period of time, usually either a specified number of years or until the death of the donor or third-party beneficiary.\"><span>charitable gift annuity</span></a> agreements, the assets received from the donor are held by the NFP as part of its general assets and are available for its general use. </span></span><span class=\"sfragment\" id=\"sfr_32F13834-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">The contribution portion of a charitable gift annuity agreement shall be recognized as revenue without donor restrictions if both of the following criteria are met: </span></span><ol class=\"ol-norm\"><li class=\"li-norm\"><span class=\"linum\">a</span><div class=\"p\"><span class=\"sfragment\" id=\"sfr_32F139B1-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">The donor does not restrict the use of the assets contributed to the NFP. </span></span></div></li><li class=\"li-norm\"><span class=\"linum\">b</span><div class=\"p\"><span class=\"sfragment\" id=\"sfr_32F13AF7-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Neither the agreement nor laws and regulations require the assets received by the NFP to be invested until the income beneficiary's death. </span></span><span class=\"sfragment\" id=\"sfr_32F13C24-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Additional annuity reserves required by state laws, as described in paragraph <a href=\"/asc/958/30/#958-30-50-2\" class=\"xref\">958-30-50-2</a>, do not create donor restrictions. </span></span></div></li></ol><span class=\"sfragment\" id=\"sfr_32F13D5F-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">If either of those criteria is not met, the contribution shall be classified as </span></span><span class=\"sfragment\" id=\"sfr_32F13E7C-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\"><a href=\"/glossary/d/#donor-restricted-support\" class=\"term\" title=\"Donor-restricted revenues or gains from contributions that increase net assets with donor restrictions (donors include other types of contributors, including makers of certain grants).\"><span>donor-restricted support</span></a> that increases net assets with donor restrictions and shall be reclassified as net assets without donor restrictions when <a href=\"/glossary/d/#donor-imposed-restriction\" class=\"term\" title=\"A donor stipulation (donors include other types of contributors, including makers of certain grants) that specifies a use for a contributed asset that is more specific than broad limits resulting from the following: The nature of the not-for-profit entity (NFP) The environment in which it operates The purposes specified in its articles of incorporation or bylaws or comparable documents for an unincorporated association. Some donors impose restrictions that are temporary in nature, for example, stipulating that resources be used after a specified date, for particular programs or services, or to acquire buildings or equipment. Other donors impose restrictions that are perpetual in nature, for example, stipulating that resources be maintained in perpetuity. Laws may extend those limits to investment returns from those resources and to other enhancements (diminishments) of those resources. Thus, those laws extend donor-imposed restrictions.\"><span>donor-imposed restrictions</span></a> or legal requirements are satisfied. </span></span></div></div>","snippet":"Under many charitable gift annuity agreements, the assets received from the donor are held by the NFP as part of its general assets and are available for its general use. The contribution portion of a charitable gift ann…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:367af4bc8c5c49fd5cc1ab5aefb74e95f5b672faeb4cd699d5bc7d87b53a452d","downloaded_from":"2026-09-10T02:22:18.202Z","last_downloaded_at":"2026-09-10T02:22:18.202Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147480585","source_sha256":"dc25a71bbb614ee122fac8ccf4fe82c26d731934deab71edcc84029aec34e958"}},{"citation":"958-30-45-3","para":"45-3","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_32F13FB5-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">During the term of the agreement, transactions and events that are recognized as changes in the value of split-interest agreements in a statement of activities shall be classified as <a href=\"/glossary/n/#net-assets-with-donor-restrictions\" class=\"term\" title=\"The part of net assets of a not-for-profit entity that is subject to donor-imposed restrictions (donors include other types of contributors, including makers of certain grants).\"><span>net assets with donor restrictions</span></a> or <a href=\"/glossary/n/#net-assets-without-donor-restrictions\" class=\"term\" title=\"The part of net assets of a not-for-profit entity that is not subject to donor-imposed restrictions (donors include other types of contributors, including makers of certain grants).\"><span>net assets without donor restrictions</span></a>, depending on the classification used when the <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> revenue was recognized initially. </span></span></div></div>","snippet":"During the term of the agreement, transactions and events that are recognized as changes in the value of split-interest agreements in a statement of activities shall be classified as net assets with donor restrictions or…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:f9c3aa0cde3283d1059e6909e26928622d75a4e2e24cbf53753cc7623a2b9f5f","downloaded_from":"2026-09-10T02:22:18.202Z","last_downloaded_at":"2026-09-10T02:22:18.202Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147480585","source_sha256":"dc25a71bbb614ee122fac8ccf4fe82c26d731934deab71edcc84029aec34e958"}},{"citation":"958-30-45-4","para":"45-4","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_32F14100-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Amounts shall be reclassified from net assets with donor restrictions to net assets without donor restrictions as distributions are received by the NFP under the terms of the <a href=\"/glossary/s/#split-interest-agreement\" class=\"term\" title=\"An agreement in which a donor enters into a trust or other arrangement under which a not-for-profit entity (NFP) receives benefits that are shared with other beneficiaries. A typical split-interest agreement has the following two components: A lead interest A remainder interest.\"><span>split-interest agreement</span></a> unless those assets are otherwise further restricted by the donor. In that case, they shall be reclassified to net assets without donor restrictions when the restrictions expire. </span></span></div></div>","snippet":"Amounts shall be reclassified from net assets with donor restrictions to net assets without donor restrictions as distributions are received by the NFP under the terms of the split-interest agreement unless those assets …","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:c685df5d0b2ffe39e5d770766ce1ed72df9bd8cd1224ccf4a65cf95d5f38b718","downloaded_from":"2026-09-10T02:22:18.202Z","last_downloaded_at":"2026-09-10T02:22:18.202Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147480585","source_sha256":"dc25a71bbb614ee122fac8ccf4fe82c26d731934deab71edcc84029aec34e958"}},{"citation":"958-30-45-5","para":"45-5","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_32F14254-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">If assets previously distributed to the NFP become available for its general use upon termination of the </span></span><span class=\"sfragment\" id=\"sfr_32F1436C-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">split-interest agreement, a <a href=\"/glossary/r/#reclassification-of-net-assets\" class=\"term\" title=\"Simultaneous increase of one class of net assets and decrease of another. A reclassification of net assets usually results from a donor-imposed restriction (donors include other types of contributors, including makers of certain grants) being satisfied or otherwise lapsing.\"><span>reclassification of net assets</span></a> shall be made from net assets with donor restrictions to net assets without donor restrictions. </span></span></div></div>","snippet":"If assets previously distributed to the NFP become available for its general use upon termination of the split-interest agreement, a reclassification of net assets shall be made from net assets with donor restrictions to…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:bd88c0296b9a12ed1dfe6c9e771fd1f3e564d92a4b8d4711ac44d27320dbb16e","downloaded_from":"2026-09-10T02:22:18.202Z","last_downloaded_at":"2026-09-10T02:22:18.202Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147480585","source_sha256":"dc25a71bbb614ee122fac8ccf4fe82c26d731934deab71edcc84029aec34e958"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:d0974f437e3a6c37958c8921e294e5ead947baf3fb1fcbb7e8a4dbea8d831ad2","downloaded_from":"2026-09-10T02:22:18.202Z","last_downloaded_at":"2026-09-10T02:22:18.202Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147480585","source_sha256":"dc25a71bbb614ee122fac8ccf4fe82c26d731934deab71edcc84029aec34e958"}},{"block":null,"heading":"Presentation in the Statement of Financial Position","paragraphs":[{"citation":"958-30-45-6","para":"45-6","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_32F144A0-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Assets and liabilities recognized under split-interest agreements shall be reported separately from other assets and liabilities in a statement of financial position if not disclosed in the related notes (see paragraph <a href=\"/asc/958/30/#958-30-50-1\" class=\"xref\">958-30-50-1(b)</a>). </span></span></div></div>","snippet":"Assets and liabilities recognized under split-interest agreements shall be reported separately from other assets and liabilities in a statement of financial position if not disclosed in the related notes (see paragraph 9…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:fd835c82e9d7d8310e639337a12cd06762a846a7bfcebdd58b79af9dcaa8cc6b","downloaded_from":"2026-09-10T02:22:18.202Z","last_downloaded_at":"2026-09-10T02:22:18.202Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147480585","source_sha256":"dc25a71bbb614ee122fac8ccf4fe82c26d731934deab71edcc84029aec34e958"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:9e3511841fa59d68b0ff7ac57a0d422385ba601db9889e05e547664e5bc1d842","downloaded_from":"2026-09-10T02:22:18.202Z","last_downloaded_at":"2026-09-10T02:22:18.202Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147480585","source_sha256":"dc25a71bbb614ee122fac8ccf4fe82c26d731934deab71edcc84029aec34e958"}},{"block":null,"heading":"Presentation in the Statement of Activities","paragraphs":[{"citation":"958-30-45-7","para":"45-7","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_32F145E6-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\"><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> revenue and changes in the value of split-interest agreements recognized under such agreements shall be reported as separate line items in a statement of activities if not disclosed in the related notes (see paragraph <a href=\"/asc/958/30/#958-30-50-1\" class=\"xref\">958-30-50-1(e)</a>). </span></span><span class=\"sfragment\" id=\"sfr_32F14730-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">Paragraph <a href=\"/asc/220/958/#220-958-45-6\" class=\"xref\">958-220-45-6</a> states that the classification of contributions received as revenues or gains depends on whether the transactions are part of the NFP's ongoing major or central activities (revenues) or are peripheral or incidental to the NFP (gains). </span></span></div></div>","snippet":"Contribution revenue and changes in the value of split-interest agreements recognized under such agreements shall be reported as separate line items in a statement of activities if not disclosed in the related notes (see…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:407225acb699aca89258710265644a601cdb8801ccd3cd66bfe05af666d9282a","downloaded_from":"2026-09-10T02:22:18.202Z","last_downloaded_at":"2026-09-10T02:22:18.202Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147480585","source_sha256":"dc25a71bbb614ee122fac8ccf4fe82c26d731934deab71edcc84029aec34e958"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:76d938982e5eef4790b928506f1c9c01c6262d525e8f6de802120d9a56a1121f","downloaded_from":"2026-09-10T02:22:18.202Z","last_downloaded_at":"2026-09-10T02:22:18.202Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147480585","source_sha256":"dc25a71bbb614ee122fac8ccf4fe82c26d731934deab71edcc84029aec34e958"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:50f569b7471f5a7c59b9992f5b661fb53d8468cd28f00880e1e7b07968c78161","downloaded_from":"2026-09-10T02:22:18.202Z","last_downloaded_at":"2026-09-10T02:22:18.202Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147480585","source_sha256":"dc25a71bbb614ee122fac8ccf4fe82c26d731934deab71edcc84029aec34e958"}},"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:50f569b7471f5a7c59b9992f5b661fb53d8468cd28f00880e1e7b07968c78161","downloaded_from":"2026-09-10T02:22:18.202Z","last_downloaded_at":"2026-09-10T02:22:18.202Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147480585","source_sha256":"dc25a71bbb614ee122fac8ccf4fe82c26d731934deab71edcc84029aec34e958"}}