AICPA Requests Comments on Updated Not-for-Profit Audit and Accounting Guide
August 23, 2012
More than 15 years ago, the AICPA issued its Audit and Accounting Guide for Not-for-Profit Entities, in conjunction with the issuance of Financial Accounting Standards Board Statement No. 116 ("Accounting for Contributions Received and Contributions Made") and FAS No. 117 ("Financial Statements of Not-for-Profit Organizations"). Since then, the guide has been updated only for conforming changes.
Now, after several years of work by the AICPA's Not-for-Profit Expert Panel, the guide has been completely overhauled. The draft guide aims to reduce inconsistency in accounting practices across the industry and addresses current and emerging topics relevant to NFP reporting. Through its participation on the Not-for-Profit Expert Panel, NACUBO has provided input on the proposed changes which include:
- Expanded guidance on reporting relationships with other entities, including examples for reporting relationships with not-for-profit and for-profit corporations, limited liability partnerships, general partnerships, and financially interrelated entities.
- New sections on reporting and measuring noncash gifts; contributions of fundraising materials, informational materials, advertising, and media time or space; below-market interest rate loans; and bargain purchases.
- Expanded discussion of municipal bond debt, including IRS considerations, third-party credit enhancements, capitalization of interest, extinguishments and debt modifications, and the effects of terms (such as subjective acceleration clauses) on the classification of debt.
- New guidance for reporting the expiration of donor-imposed restrictions.
- Expanded discussion on the legal and regulatory environment in which NFPs operate.
You can access the draft guide from the AICPA web site. The deadline for comments is October 15, 2012.
Director, Accounting Policy
- ED Tightens New "Gainful Employment" Rules
- GASB Studies Irrevocable Charitable Trusts
- ED Negotiations Focus on Cash Management
- 2014 Higher Education Accounting Forum
April 27-29, 2014
- ON-DEMAND: Understanding the Results of the 2013 NACUBO-Commonfund Study of Endowments, and a Look to 2014 and Beyond
- ON-DEMAND: How Behavioral Changes Helped Cut Energy Usage in Half
- ON-DEMAND: Developing a Market-Informed Approach to Tuition Pricing
- ON-DEMAND: Responsibility Center Management: The Process Necessary to Complete a Successful Implementation
- ON-DEMAND: OD: Responsibility Center Management: How Innovations Have Changed the Nature of RCM
- A Guide to College and University Budgeting: Foundations for Institutional Effectiveness, 4th ed. - by Larry Goldstein
- NACUBO's Guide to Unitizing Investment Pools - by Mary S. Wheeler
- Managing and Collecting Student Accounts and Loans - by David R. Glezerman and Dennis DeSantis