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Section PS 1150 - Generally accepted accounting principles

Effective date:

April 1, 2005 (Certain local governments – April 1, 2006)

Published by PSAB:

February 2005


This Section:

  1. establishes standards for financial reporting in accordance with generally accepted accounting principles;
  2. describes what constitutes generally accepted accounting principles, and their sources; and
  3. provides guidance on sources to consult when selecting accounting policies and determining appropriate disclosures, when a matter is not dealt with explicitly in the primary sources of generally accepted accounting principles.

Regarding the sources of GAAP, PS 1150 Generally accepted accounting principles identifies both primary sources of GAAP and other sources of GAAP.

  • Primary sources of GAAP are the PSAS Handbook Sections themselves, Public Sector Guidelines and any accompany appendices (including illustrative material) that accompany the Sections and the Guidelines.
  • Other sources of GAAP include pronouncements issued by other bodies authorized to issue accounting standards which include accounting pronouncements published by the Canadian Accounting Standards Board and the International Accounting Standards Board.  Professional judgment must be exercised in evaluating the appropriateness of other sources of GAAP.

History of Section PS 1150




February 2005

New Section

This new Section replaces paragraph PS 1200.014 Financial statement presentation — federal, provincial & territorial governments, and paragraph PS 1700.44 Objectives of financial statements — local governments.

April 2006

New transitional provisions

New transitional provisions have been added that defer the application of the Section by one year for certain local governments.

Note: The above summary does not include details of consequential amendments made as the result of other projects.

Correction list for hyphenation

These words serve as exceptions. Once entered, they are only hyphenated at the specified hyphenation points. Each word should be on a separate line.