Academic journal article Journal of Accountancy

GASB Proposal on Grants Too Narrow, Says AICPA Committee

Academic journal article Journal of Accountancy

GASB Proposal on Grants Too Narrow, Says AICPA Committee

Article excerpt

In comments to the Governmental Accounting Standards Board, the American Institute of CPAS government accounting and auditing committee (GAAC) took issue with what it termed "piecemeal standard setting" in the GASB exposure draft Accounting and Reporting for Certain Grants and Other Financial Assistance (see "GASB Proposal on Accounting for Grants," Jofa, Mar.94, page 16).

The comment letter, signed by GAAC chairman George A. Scott, noted that the original discussion memorandum issued in 1992 included all grants and financial assistance. The ED, on the other hand, "carved out three of the less significant topics covered in the discussion memorandum" for standard setting: pass-through grants, food stamps and on-behalf payments.

"The committee discourages the GASB from issuing standards in such a piecemeal manner and supports the alternative view that the board has missed an opportunity to establish a sound foundation for reporting all grants and other financial assistance transactions," wrote Scott.

The committee asked GASB to return to the broader issues of measurement focus, basis of accounting and the financial reporting model of government and business-type activities before taking on limited-scope projects. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.