- US GAAP
ASC 350 comprises five Subtopics (Overall, Goodwill, General Intangibles Other than Goodwill, Internal-Use Software, and Website Development Costs). Below is an overview of each Subtopic.
ASC 350-10 provides an overview of Topic 350 and the Subtopics within Topic 250.
ASC 350-20 notes the following:
This Subtopic addresses financial accounting and reporting for goodwill subsequent to its acquisition and for the cost of internally developing goodwill.
While goodwill is an intangible asset, the term intangible asset is used in this Subtopic to refer to an intangible asset other than goodwill.
350-30 General Intangibles Other than Goodwill
ASC 350-30 notes the following:
This Subtopic addresses financial accounting and reporting for intangible assets (other than goodwill) acquired individually or with a group of other assets. However, it does not discuss the recognition and initial measurement of intangible assets acquired in a business combination or in an acquisition by a not-for-profit entity. That acquisition guidance is provided in Subtopics 805-20 and 958-805. This Subtopic also addresses financial accounting and reporting for intangible assets after their acquisition, including intangible assets acquired in a business combination or an acquisition by a not-for-profit entity.
350-40 Internal-Use Software
ASC 350-40 notes the following:
This Subtopic provides guidance on accounting for the cost of computer software developed or obtained for internal use and for determining whether the software is for internal use.
Internal-use software has both of the following characteristics:
- The software is acquired, internally developed, or modified solely to meet the entity’s internal needs.
- During the software’s development or modification, no substantive plan exists or is being developed to market the software externally.
350-50 Website Development Costs
ASC 350-50 notes the following:
This Subtopic provides guidance on accounting for costs incurred to develop a website, including whether to capitalize or expense the following types of costs:
- Costs incurred in the planning stage
- Costs incurred in the website application and infrastructure development stage
- Costs incurred to develop graphics
- Costs incurred to develop content
- Costs incurred in the operating stage.