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Public Sector Accounting Standards

Cloud Computing Arrangements

Summary

PSAB is developing a Canadian public sector accounting guideline to provide guidance on cloud computing arrangements (CCAs) based on your feedback during PSAB’s 2022 Work Plan Consultation.

We will develop this guideline as part of a broader Intangible Assets project.

There is currently no accounting guidance for Canadian public sector entities on CCAs in the Public Sector Accounting (PSA) Handbook. With this proposed guideline, we want to help improve consistency and accuracy in the financial statements of Canadian public sector entities that account for these arrangements.

Background

In September 2023, PSAB approved the Intangible Assets project proposal, which includes the development of:

  1. foundational Intangible Assets standard; and
  2. an accounting guideline for CCAs in the Canadian public sector.

PSAB approved a sequence for the development of the two project components as part of the project plan. We will develop the Intangible Assets standard first and the accounting guideline on CCAs once the Intangible Assets standard has been exposed for comment.


Staff Contact(s)

Iman Sheikh, CPA, CA Principal, Public Sector Accounting Board

Phone number  +1 647 264 8346
Email address  [email protected]
Sophia Kasozi, CPA, CA Principal, Public Sector Accounting Board

Phone number  +1 604 605 5099
Email address  [email protected]
Antonella Risi, CPA, CA Associate Director, Public Sector Accounting Board

Phone number  +1 416 204 3484
Email address  [email protected]

Project Status

  • Information gathering
  • Approving project

    Project approved September 2023

  • Engaging communities

    Survey opened for public comment February 2025

    PSAB issued a Cloud Computing Arrangements Survey to gather feedback from preparers, practitioners, and other interested and affected parties to inform the development of its guidance.

  • Deliberating feedback

    PSAB reviewed the results of its Cloud Computing Arrangements Survey and will utilize this feedback in developing its guidance.

  • Final pronouncement

Meeting & event summaries

June 15, 2026

PSAB Decision Summary – June 15-16, 2026

PSAB received a presentation from the Cloud Computing Task Force’s Chair and provided direction to the Task Force on key aspects for developing the guideline on cloud computing arrangements in the Canadian public sector.

PSAB will deliberate the proposed guidance at future meetings, with an exposure draft of the guideline expected in 2027.

December 9, 2025

PSAB Decision Summary – December 9-10, 2025

The Cloud Computing Arrangements Task Force provided an overview of cloud computing arrangements, the findings from PSAB’s Cloud Computing Arrangements survey, and the ongoing work on key project issues. The Task Force plans to present recommendations on key issues for Board consideration in 2026.

December 11, 2024

PSAB Decision Summary – December 11-12, 2024

PSAB also approved the issuance of two cloud computing surveys, one that is developed for the preparer community and one that is developed for other practitioners, such as auditors and/or consultants. These surveys were developed to gather information on cloud computing arrangements in the Canadian public sector and will help inform the development of PSAB’s cloud computing guideline. These surveys are expected to be released for comment between late February and early March 2025, with a 90-day comment period.

October 31, 2024

PSAB Decision Summary – September 28-29, 2023

The Board approved the Intangible Assets project proposal, including an accounting guideline to provide guidance on cloud computing arrangements (CCAs). PSAB reviewed and provided feedback on the approach and timelines to incorporate guidance on CCAs as part of the Intangible Assets project.

Staff will first work to develop an intangible assets standard for the public sector by applying PSAB's International Strategy based on principles in IPSAS 31, Intangible Assets. Once the intangible asset standard has been exposed for comments, staff will then proceed to develop guidance for CCAs in the form of an accounting guideline.

June 26, 2024

PSAB Decision Summary – June 26-27, 2024

PSAB also approved the Terms of Reference for its Cloud Computing Task Force. A public call for volunteers will take place this fall.

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.