Access the Consultation Paper

Your opportunity to shape the future of financial reporting for non-profit organisations.

Consultation Paper

The publication of this Consultation Paper gives non-profit organisations (NPOs) the opportunity, for the first time, to contribute to the development of international financial reporting for their sector.

The preparation of financial statements is crucial for accountability and decision-making and for trust and confidence in NPOs. However, there are no common international accounting standards for NPOs, unlike in the private and public sectors. Only a few jurisdictions have developed guidance that address the unique characteristics of NPOs and the types of transactions they undertake.

Feedback to this Consultation Paper will shape the future of financial reporting in this important but diverse sector. See how to respond here.

Executive Summary

This section of the Consultation Paper summarises why financial reporting guidance for NPOs is needed.  It includes the objectives of the Guidance and outlines the issues addressed in the key parts of the document, including the rationale for the proposed approach to developing the Guidance.  In less than three pages it captures the key elements of the Consultation Paper.


The Introduction provides a description of the current financial reporting issues facing NPOs, the role of the project in strengthening financial management and explains the objectives of the Guidance.  It also explains how the consultation paper fits into the project timeline, outlines key sections of the Consultation Paper and ways in which responses to the consultation questions can be made.

Part 1

Part 1 of the Consultation Paper examines which organisations are NPOs, and the needs of NPO stakeholders and users of financial information.  It also considers the basis of the guidance including the accounting basis and the role of international financial reporting standards, and recommends a way forward. More information about each of the main topics in Part 1 can be found here.

Part 2

Part 2 considers NPO-specific financial reporting issues.  It sets out how key NPO-specific issues have been identified, provides a description of the nature of each issue and criteria for prioritising those issues to be considered for inclusion in the Guidance, with in-depth analysis of 10 issues. More information about the accounting issues in Part 2 can be found here.

Additional Material

Material is provided to explain the background and history to the project.  There is also more information about international financial reporting standards and how they are developed, as well as information from some jurisdictions that have NPO specific financial reporting guidance.  Finally, indicative analysis about gaps between existing international standards and NPO-specific accounting issues is provided.


A glossary is designed to provide a general meaning for terms used in Part 1 and 2 of the Consultation Paper as well as other resources related to the IFR4NPO project.  This is to promote a common understanding of the terms used.  This is intended to assist with engagement with the issues and questions raised in the Consultation Paper.


Consultation Paper - Other languages

Certain sections of the Consultation Paper have been translated into the languages show below. We are grateful to those who have supported this work, and please email us if you have proposals for other translations.

  1. Arabic – Executive Summary
  2. French – Executive Summary
  3. Spanish – Complete Consultation Paper

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