Document ID: chunk:federal_register_of_legislation:F2023C00188:reg:7:p9
Version: federal_register_of_legislation:F2023C00188
Segment Type: reg
Provision Reference: reg 7 (pt 9/91)
Character Range: 31028–34294

present in a contract in which a customer promises consideration in exchange for goods or services (eg a fundraising dinner).
B7                   Volunteer services are services transferred by individuals or other entities without charge or for consideration significantly less than the fair value of those services.  Whether such services (when recognised in accordance with paragraphs 18 and 19) are recognised as an asset or an expense depends on the entity's determination whether it is probable that economic benefits will flow to the entity beyond the current accounting period.  In many instances, the economic benefits of volunteer services will be consumed as the services are acquired.  In some cases, the volunteer services will contribute to the development of an asset and be included in the carrying amount of that asset.
B8                   Entities may be recipients of volunteer services under voluntary or compulsory schemes operated in the public interest, for example:
(a)                    technical assistance from other governments or international organisations;
(b)                   persons convicted of offences who are required to perform community service for the entity;
(c)                    hospitals receiving the services of volunteers;
(d)                   schools receiving voluntary services from parents as teachers' aides or as board members; and
(e)                    local governments receiving the services of volunteer firefighters.
B9                   Entities may also be recipients of volunteer professional services that support their broader activities.  For example, charities and religious organisations may receive free professional accounting or legal services.
B10                Government appropriations, which establish the authority to spend money for particular purposes, are a form of a transfer made voluntarily as the government is not compelled to make particular payments of amounts appropriated.
B11                Taxes, rates and fines are forms of transfers made compulsorily.

Recognition and measurement of income and related amounts (paragraphs 9–17)
B12                An entity recognises related contributions by owners, liabilities and revenue ('related amounts') on initial recognition of an asset in accordance with another Australian Accounting Standard where the consideration for that asset is significantly less than fair value principally to further the entity's objectives.
B13                Any income recognised in accordance with paragraph 10 is strictly the residual of the difference between the fair value of the asset recognised and the consideration for that asset, after deducting any other related amounts described in paragraph 9.  However, income is not recognised under paragraph 10 where another Standard addresses the accounting for the difference, such as the "day one gain/loss" requirements in AASB 9.

Refund obligations
B14                An entity typically has the ability, through its own actions, to avoid the circumstances that would give rise to a breach of conditions or requirements in an agreement necessitating a return of funds received.  In such cases, liabilities recognised in accordance with other Standards do not include refund obligations