Tentative Board Decisions
Tentative Board decisions are provided for those interested in following
the Board’s deliberations. All of the reported decisions are tentative and may
be changed at future Board meetings.
Wednesday, November 6, 2019
FASB Board Meeting
Not-for-profit
reporting of gifts-in-kind. The Board
discussed
the scope, presentation, and disclosures of gifts-in-kind (GIKs).
Scope
The Board decided that
the scope of
the project should be limited to GIKs of
nonfinancial assets.
Presentation and
Disclosure
The Board decided to
require a not-for-profit
entity (NFP) to present GIKs
of nonfinancial assets received in a separate line item in revenue
in the
statement of activities.
The Board decided
to require an NFP
to disclose
GIKs received by category in the footnotes to
the financial statements. An NFP also would be required to disclose the following
for each
category of GIKs received:
- Qualitative information about
whether the GIKs
were monetized or utilized
and, if
utilized, a description
of the specific programs
or other activities in
which those GIKs were used
- Description of any
associated donor restrictions
- The
principal market (or most advantageous
market) used in the valuation (in addition
to the disclosures required by Topic 820, Fair Value Measurement, relating to
valuation techniques and inputs used to arrive at a fair value
measure).
Transition
The Board decided
that an
NFP should apply a retrospective
method of
transition.
Next Steps
The Board directed the staff to draft
a proposed Accounting Standards Update
for vote by written ballot, with a comment period ending
on the later of 60
days after issuance or February
28,
2020.