International Journal of Accounting and Taxation

Accounting for Internally Generated Intangible Assets
Steven W. Smalt, PhD, CPA ; J. Marshall McComb II, MAcc, CPA

Abstract
Intangible assets have become a major factor driving value creation in the modern global economy. Despite this, many inconsistencies exist in the presentation of intangible assets in financial statements, often under representing internally generated intangible assets as compared to purchased intangible assets. These inconsistencies in accounting treatments make comparisons both in the current period as well as future periods pronounced and material. This article compares and contrasts current treatment requirements of both IFRS and US GAAP and proposes an alternative that provides consistent accounting application and greater comparability of essentially identical transactions.

Full Text: PDF     DOI: 10.15640/ijat.v4n1a1