Accounting for software at federal agencies addressed in proposal

By Ken Tysiac

A recent proposal is designed to address challenges that federal government agencies have experienced in accounting for internal-use software.

Software development techniques have changed dramatically since the issuance in 1998 of Statement of Federal Financial Accounting Standards (SFFAS) 10, Accounting for Internal Use Software, by the Federal Accounting Standards Advisory Board (FASAB).

New terminology and techniques have evolved in the past 17 years that have made it difficult for federal agencies to apply SFFAS 10. 

These challenges are addressed in implementation guidance proposed in an exposure draft issued by FASAB’s Accounting and Auditing Policy Committee (AAPC). The AAPC is seeking comment on a Federal Financial Accounting Technical Release, Implementation Guidance for Internal Use Software.

Comments are sought until Oct. 28 and can be submitted by email at fasab@fasab.gov.

Ken Tysiac (ktysiac@aicpa.org) is a JofA editorial director.

SPONSORED REPORT

Revenue recognition: A complex effort

Implementing the new standard requires careful judgment. Learn how to make significant accounting judgments and document them and collaborate with peers for consistent application.

TECHNOLOGY Q&A

How to create maps in Excel 2016

Microsoft Excel 2016 has two new mapping capabilities. J. Carlton Collins, CPA, demonstrates how to make masterful 2D and 3D maps in Excel 2016.

QUIZ

News quiz: Economy and health care changes top CPAs’ list

CPA decision-makers’ economic outlook and the House Republicans’ proposed tax changes as part of replacing the Patient Protection and Affordable Care Act received attention recently. See how much you know with this short quiz.