Exposure Draft – Tangible Capital Assets, Proposed Amendments to Section PS 3150

The Public Sector Accounting Board (PSAB) issued an exposure draft aiming to increase comparability and transparency among public sector entities, including government not-for profit organizations, by amending certain definitions, proposing additional guidance to ensure consistent application of the standard, and clarifying certain topics. This project is the first in a series of projects to implement PSAB’s Government Not-for-Profit Strategy, which encompasses a review of the PS 4200 series standards. Sections PS 4230, Capital Assets held by Not-for-Profit Organizations, and PS 4240 Collections held by Not-for-Profit Organizations, will be withdrawn as a result of the proposed amendments to Section PS 3150.

The proposed amendments would:

• amend the definition of “tangible capital asset;”
• add guidance to identify a “collection;”
• add disclosure requirements to highlight the importance of works of art, historical treasures, and collections; and
• add guidance to clarify the accounting treatment for situations addressed by the PS 4200 series.

Comments are requested by April 15, 2024.