Public Sector Accounting Standards

2022–2023 Annual Improvements

Summary

The Public Sector Accounting Board (PSAB) has adopted an Annual Improvements process to make minor improvements to the CPA Canada Public Sector Accounting (PSA) Handbook or Statements of Recommended Practices (other guidance).

The Annual Improvements process:

clarifies standards or other guidance; or
corrects relatively minor unintended consequences, conflicts or oversights.

Major or narrow-scope amendments to the standards or other guidance are not included in the Annual Improvements process.

Staff Contact(s)

Michael Puskaric, MBA, CPA, CMA Director, Public Sector Accounting Board

+1 416 204 3451

[email protected]

Project Status

Information gathering

PSAB accepted submissions of issues for its Annual Improvements projects
Approving project

PSAB discussed the issues to be included in the 2022-2023 Annual Improvements Exposure Draft
Consulting stakeholders

PSAB issued its Annual Improvements Exposure Draft in August 2022

Exposure Draft
Deliberating feedback

PSAB approved the final Handbook amendments at its December 2022 meeting
Final pronouncement

The final Handbook amendments will be published in two phases

In the first phase, the amendments to allow early adoption of Section PS 3160, Public Private Partnerships, and clarify the application of PSG-8, Purchased Intangibles, to inter-entity transactions, will be issued with an effective date of April 1, 2023

As part of the second phase, the remainder of the amendments will be published later in 2023, with an effective date of the first day of the month published. This approach will allow for the coordination of the remaining annual improvements with the expected publication of consequential amendments related to the new reporting model, Section PS 1202, Financial Statement Presentation, in fall 2023

News

August 9, 2022

Document for Comment

PSAB Exposure Draft – 2022-2023 Annual Improvements to Public Sector Accounting Standards

PSAB wants your feedback on Exposure Draft – 2022-2023 Annual Improvements to Public Sector Accounting Standards, which outlines the proposed amendments to the CPA Canada Public Sector Accounting (PSA) Handbook or Statements of Recommended Practices (other guidance). Submit your comments by October 11, 2022.

Meeting & event summaries

December 20, 2022

PSAB Decision Summary – December 1-2, 2022

PSAB approved the proposals which were recommended as part of the 2022-2023 Annual Improvements Exposure Draft in August 2022, with two exceptions:

Terminology changes to replace “government” with “public sector entity” were not approved for Section PS 3100, Restricted Assets and Revenues, because of complexities related to internally restricted entities that warrant further consideration in a future project.
PSAB did not approve updating the designation of existing CPA Canada Public Sector Accounting (PSA) Handbook appendices to respond to respondents’ requests for clarity about the status of each appendix as a source of GAAP, as described in Generally Accepted Accounting Principles, paragraph PS 1150.03(d). The Board concluded that clarifying the status of some application guidance appendices within GAAP went beyond the definition of an annual improvement and requires consideration in a future project.

PSAB also agreed to publish the approved annual improvements in the PSA Handbook in two phases.

In April 2023, the PSA Handbook release will allow early adoption of Section PS 3160, Public Private Partnerships, and clarify the application of PSG-8, Purchased Intangibles, to inter-entity transactions. The effective date of these is April 1, 2023.
The remainder of the annual improvements, excluding the two exceptions noted, will be published in a PSA Handbook release later in 2023, with an effective date of the first day of the month published.

This approach will allow for the coordination of the remaining annual improvements with the expected publication of consequential amendments related to the new reporting model, Section PS 1202, Financial Statement Presentation, in fall 2023.

Disclaimer

This project summary has been prepared for information purposes only. Decisions reported are tentative and reflect only the current status of discussions on this project, which may change after further Board deliberations. Decisions to publish Handbook material are final only after a formal voting process.