In May 2015, the AcSB approved a research project to understand current Canadian and international practices for recognizing revenue from contributions. In January 2016, the Board created its Not-for-Profit Advisory Committee (the Committee) to assist with maintaining and improving accounting standards for NFPOs.
After completing the research phase of this project, in May 2020, the AcSB issued the Consultation Paper, “Contributions – Revenue Recognition and Related Matters,” to obtain input from stakeholders on the accounting for contributions and related matters. The Consultation Paper did not propose specific solutions but sought feedback from stakeholders on the issues they faced in accounting for contributions and related matters, as well as potential solutions.
In response to stakeholder input on the Consultation Paper, in March 2022, the AcSB decided to proceed with a standard-setting project to amend the guidance in Part III of the Handbook for contributions and related matters.