Press Releases/News Alerts, Press Releases
Apr 11, 2017
New York, New York
IPSASB Launches Consultation on Heritage Reporting
The International Public Sector Accounting Standards Board® (IPSASB®) has released a Consultation Paper (CP), Financial Reporting for Heritage in the Public Sector, for comment.
”There is currently a variety of financial reporting practices for heritage items, which reduces the comparability of public sector entities’ general purpose financial reports (GPFRs),” said IPSASB Chair Ian Carruthers. “Many public sector entities have heritage responsibilities and this Consultation Paper is a first step toward developing financial reporting guidance to support accountability and decision making in this area. We look forward to receiving constituents’ views on our proposals.”
The paper describes heritage items as items that are intended to be held indefinitely and preserved for the benefit of present and future generations because of their rarity and/or significance. It proposes that:
- heritage items’ special characteristics do not prevent them from being assets for the purposes of financial reporting;
- heritage items should be recognized in the statement of financial position if they meet the recognition criteria in the Conceptual Framework; and
- in many cases, it will be possible to assign a monetary value to heritage assets.
The paper also discusses:
- initial and subsequent measurement of heritage assets;
- whether heritage preservation responsibilities could involve present obligations for entities, which should be recognized as liabilities in the financial statements; and
- presentation of information for heritage in GPFRs.
How to Comment
To access the Consultation Paper and its summary At-a-Glance document, or to submit a comment, visit the IPSASB website, www.ipsasb.org. Comments on the Consultation Paper are requested by September 30, 2017. The IPSASB encourages IFAC members, associates, and regional accountancy organizations to promote the availability of this Consultation Paper to their members and employees.
About the IPSASB
The International Public Sector Accounting Standards Board (IPSASB) works to strengthen public financial management globally through the development of accrual-based International Public Sector Accounting Standards® (IPSAS®) and other guidance for use by governments and other public sector entities. It receives support from international financial institutions, governments, and professional bodies around the world, as well as from IFAC. IPSASB’s governance and standard setting are overseen by the Public Interest Committee (PIC), ensuring its activities follow due process and reflect the public interest.
IFAC is the global organization for the accountancy profession dedicated to serving the public interest by strengthening the profession and contributing to the development of strong international economies. IFAC is comprised of more than 175 members and associates in more than 130 countries and jurisdictions, representing almost 3 million accountants in public practice, education, government service, industry, and commerce.