UK GAAP on revenue recognition is primarily contained in Application Note G to FRS 5, which was issued in November 2003 as an Amendment to FRS 5 ’Reporting the Substance of Transactions: Revenue Recognition.

ASB is currently monitoring the IASB and FASB joint project on Revenue Recognition.

‘Revenue Recognition—A European Contribution’ is a paper that has been prepared by the staff of EFRAG and the German standard-setter and issued by them and the French standard-setter as part of Europe’s initial contribution to the debate. Its primary objective is to stimulate debate within Europe and thereby encourage the development of European thinking and views. The paper seeks to do this by discussing first what revenue is and then when it arises. It develops and then compares and contrasts various approaches to revenue recognition, highlighting as it goes a range of issues for consideration. Comments on the discussion in the paper are invited by 10 December 2007.