2.8 Primary Beneficiary
ASC 810-10 — Glossary
Primary Beneficiary
An entity that consolidates a variable interest entity (VIE). See paragraphs
810-10-25-38 through 25-38J for guidance on determining the
primary beneficiary.
A reporting entity that consolidates (i.e., has a controlling financial interest in) a VIE is the “primary beneficiary” of the VIE. See Chapter 7 for a detailed discussion of how a reporting entity should assess whether it has a controlling financial interest and is therefore the primary beneficiary of the VIE.