|Definition of joint venture
|Contractual arrangement whereby two or more parties undertake an economic activity, which is subject to joint control. Exclusion if investment is held-for-sale.
|A corporation owned and operated by small group of businesses as a separate and specific business or project for the mutual benefit of the members of the group.
|Similar to IFRS.
Exclusion if it meets the definition of a subsidiary or exemptions similar to non-consolidation of subsidiaries
|Presentation of jointly controlled entities Joint ventures)
|In consolidated financials: both proportional consolidation and equity method is permitted.
|In consolidated financials: equity method is required except in specific circumstances.
In standalone financials: at cost or equity method is used.
|In Consolidated financials: proportional consolidation is used
In standalone financials: at cost less impairment.
|Employee share (stock) trusts
|Consolidated where substance of relationship indicates control (SIC-12 model). Entity’s own shares held by an employee share trust are accounted for as treasury shares.
|Similar to IFRS except where specific guidance applies for Employee Stock·’ Ownership Plans (ESOPs) in SOP 93-6.
|Employee share trusts are not consolidated
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