FASB’S ASU 2018-08: How Will the New Pronouncements Impact Your Organization?
In June 2018, the Financial Accounting Standards Board issued Accounting Standards Update (ASU) 2018-08, “Clarifying the Scope and the Accounting Guidance for Contributions Received and Contributions Made.” This new pronouncement will have a profound impact on the way not-for-profit organizations recognize grant revenues and report them in their financial statements.
In his article written for Taxation of Exempts (a Thomson Reuters publication), EisnerAmper Not-for-Profit Partner Jimmy Mo discusses the new FASB pronouncement and explains how it will affect organizations who have grants and donations as part of their operations.
The article states that ASU 2018-08 will require a change in institutional mind-set; and that educating the users of not-for-profit financial statements before the adoption of ASU 2018-08 is extremely important. To read Jimmy’s full article on ASU 2018-08, please click here.
View Additional information on how FASB'S ASU 2018-08 Impacts Not-for-Profit Organizations.
The article originally appeared in Taxation of Exempts, March/April 2019, published by Thomson Reuters