Document ID: chunk:federal_register_of_legislation:F2023C00188:reg:7:p90
Version: federal_register_of_legislation:F2023C00188
Segment Type: reg
Provision Reference: reg 7 (pt 90/91)
Character Range: 254110–257067

various assets acquired for consideration that is significantly less than the fair value of the asset principally to enable the entity to further its objectives, to be initially measured at fair value in accordance with AASB 13.  AASB 1058 also requires any related amounts to the asset to be recognised and measured in accordance with other Australian Accounting Standards.  The IPSASB does not have a fair value measurement standard similar to AASB 13 and therefore IPSAS 9, IPSAS 11 and IPSAS 23 do not include such a reference;

(c)                    exchange and non-exchange transactions – IPSAS 9 and IPSAS 23 require income recognition based on whether it is an exchange or non-exchange transaction (a transaction in which the entity receives value from another entity without giving approximately equal value in exchange) respectively.  IPSAS 23 requires a non-exchange transfer to be recognised as an asset and corresponding revenue when the entity does not have a liability in respect of the same asset.  Where a liability is initially recognised, an entity recognises revenue and reduces the liability when it satisfies the present obligations associated with the asset.  Except in certain specified instances, AASB 1058 requires an entity to recognise as income immediately in profit or loss the excess of the initial carrying amount of an asset over the related amounts recognised in accordance with other Australian Accounting Standards in the form of contributions by owners, liabilities and revenue;

(d)                   volunteer services – IPSAS 23 permits an entity to elect whether to recognise services in-kind (ie volunteer services) as revenue and an asset.  AASB 1058 requires local government, government departments, general government sectors and whole of government to recognise volunteer services as income (or where appropriate, a contribution by owner) if the fair value of the services can be measured reliably and if the services would have been purchased if they had not been donated.  All other entities may elect to recognise volunteer services if those services can be measured reliably; and

(e)                    disclosure – AASB 1058 includes a number of disclosure requirements that are not included in IPSAS 9, IPSAS 11 and IPSAS 23, such as the requirement for government departments to disclose information relating to compliance with parliamentary appropriations and other externally imposed requirements.  IPSAS 9 and IPSAS 23 require some disclosures that are not included in AASB 1058, such as the disclosure of the methods adopted to determine the stage of completion of transactions involving the rendering of services.  Additionally, IPSAS 23 encourages, but does not require, the disclosure about the nature and type of all volunteer services received, whether they are recognised or not.  This contrasts with AASB 1058, which requires the disclosure of volunteer services that are recognised during