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Government grants and assistance

Government assistance is something that certain industries come by at least once a year, i.e. agriculture for instance, and in certain industries much more rarely and even so if certain events  (more…)

Government grants for expenses

There are often times when your local government can assign a grant for your company or for your industry for you to apply for the grant etc. The means may vary, however the general approach to recognizing the grant on your financial statements remains the same.   (more…)

Grants related to assets

So say that you received a government grant and having been compliant with all the conditions, you receive the grant. You will now recognize it within the financial statements, only you don’t exactly know how to do it. For an example let’s say that the grant itself was for acquiring new equipment for your production.  […]

Recognizing grants and government assistance on financial statements

Once your company is applying for a government grant or it’s being offered assistance, it’s important to understand when exactly you can recognize the grant on the financial statements. Note here that accounting frameworks may differ with that regard in details, however the general principle applied is the same.  (more…)

Defining grants and government assistance

In order for us to be on the same page, before we can move on, it’s important to define the words ‘government assistance’ and ‘grant’.  (more…)

Donations received – how to treat them?

Specifics are always tied to events and occasions, the donations received as such are hence dependable of the business type, industry the company is in etc., however, if there is an occasion your company does receive a donation, the treatment and disclosure requirements are still more or less the same. There are some special disclosure […]

Donations paid – how to treat them?

There may be a time and place in your business that you feel like you want to make a donation to someone. Be it whatever it is, the treatment is still the same. If the grant is just given out without any further conditions, the amount given is your expense. At the time of the […]