Accounting of grants-in-aid: treat disbursements as revenue expenditure and require prescriptive valuation and disclosure. Grants-in-Aid (cash or in kind) are to be recognised by the grantor on disbursement and by the grantee on receipt; in-kind grants are recognised on receipt where valuation exists. Grants disbursed are classified and accounted as revenue expenditure in the grantor's financial statements and grants received as revenue receipts in the grantee's statements, irrespective of the grantee's ultimate use, except where specific presidential authorization permits capital accounting. Pass-Through Grants follow the same revenue treatment. In-kind grants must be valued or disclosed using grantor cost, market value or replacement cost, and grantors must disclose total funds released and amounts allocated by grantees for capital asset creation in a prescribed format.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Accounting of grants-in-aid: treat disbursements as revenue expenditure and require prescriptive valuation and disclosure.
Grants-in-Aid (cash or in kind) are to be recognised by the grantor on disbursement and by the grantee on receipt; in-kind grants are recognised on receipt where valuation exists. Grants disbursed are classified and accounted as revenue expenditure in the grantor's financial statements and grants received as revenue receipts in the grantee's statements, irrespective of the grantee's ultimate use, except where specific presidential authorization permits capital accounting. Pass-Through Grants follow the same revenue treatment. In-kind grants must be valued or disclosed using grantor cost, market value or replacement cost, and grantors must disclose total funds released and amounts allocated by grantees for capital asset creation in a prescribed format.
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