Comment: recognition of intangible assets

In our response to the FASB’s invitation to comment on whether or not the Board should add a project to its agenda on recognizing intangible assets, we suggested that the FASB undertake two related projects:

• First, and of higher priority, a project aimed at reducing the differences between asset acquisition and business combination accounting
• Second, and of lower priority, a project that would provide incremental guidance to stakeholders on recognizing internally generated intangible assets

In our view, the completion of these two projects would enhance the comparability and representational faithfulness of financial reporting by ensuring that entities account for similar intangible assets similarly.

Download our letter to read our comments in full.