IAS 20 Accounting for Government Grants and Disclosure of Government Assistance - A Closer Look

Abstract

The International Accounting Standards Committee issued the the International Accounting Standard 20, Accounting for Government Grants and Disclosure of Government Assistance. The objective of IAS 20 is to prescribe the accounting treatment for, and disclosure of, government grants and other forms of government assistance. Government assistance takes many forms varying both in the nature of the assistance given and in the conditions which are usually attached to it. The purpose of the assistance may be to encourage an entity to embark on a course of action which it would not normally have taken if the assistance was not provided. This article presents a closer look of standard (objective, scope, definitions, recognition, presentation and disclosures).International Accounting Standard; Government Grants; Government Assistance; Fair Value; IAS 20; IASC; IASB