Intangible Assets Accounting (IPSAS 31, IAS 38) Training Course

Intangible items now represent a large share of what many organisations own: accounting and ERP systems, mobile platforms, operating licences, patents, trademarks and data. Yet they are among the most frequently misstated balances in financial statements. Expenditure that should be expensed is capitalised, internally generated brands appear as assets, amortisation periods are set by habit, and impairment indicators go unexamined. For public sector entities moving from cash to accrual reporting, IPSAS 31 adds questions about donated software, statutory rights and assets acquired for nominal consideration.

The Intangible Assets Accounting (IPSAS 31, IAS 38) Training Course follows an intangible from first identification to final derecognition. Participants test items against the definition, separate research from development, measure separately acquired and business-combination intangibles, and choose between the cost and revaluation models. Later sessions address useful life assessment, amortisation, impairment reviews, derecognition on disposal and the disclosures both standards require, with a direct comparison of where IPSAS 31 departs from IAS 38.

Learning is anchored in worked examples drawn from the kinds of transactions participants actually handle, including software upgrades, SaaS contracts, donated systems and licence renewals. Each day ends with a short accounting exercise, and the final day brings everything together in an audit file review.

On completing the programme, participants will be able to:

• Apply the identifiability, control and future economic benefit tests to decide whether an item qualifies as an intangible asset.
• Distinguish research from development activity and assess development costs against the IAS 38 capitalisation criteria.
• Measure intangibles acquired separately, through business combinations, by government grant and through non-exchange transactions.
• Select and justify the cost or revaluation model, useful lives, residual values and amortisation methods.
• Assess intangible assets for impairment using IAS 36, IPSAS 21 and IPSAS 26 as appropriate.
• Account for software, website, cloud computing and licence costs consistently with current interpretations.
• Prepare the disclosures required by IPSAS 31 and IAS 38 and reconcile them to the asset register.

Finance and audit professionals responsible for recognising, valuing or reviewing intangible assets will benefit, particularly:

• Financial accountants and financial reporting managers in listed and private companies
• Public sector accountants preparing accrual-basis IPSAS financial statements
• Internal auditors and external audit seniors and managers
• ICT finance and budget officers managing software and systems spend
• Fixed asset and asset register officers
• Accountants in state corporations, local governments and ministries
• Finance staff in technology, media, telecommunications and pharmaceutical firms
• Consultants advising on IFRS or IPSAS conversion projects

You return to work equipped with:

• A recognition decision tree for testing any proposed intangible against IAS 38 and IPSAS 31.
• A development-cost capitalisation checklist covering all six criteria and the evidence each one needs.
• A useful-life assessment template and an amortisation schedule built in Excel.
• An impairment indicator review form suited to both cash-generating and non-cash-generating assets.
• A model accounting policy note and disclosure tables for intangible assets.
• A reviewed audit file showing how to document judgements for external auditors.

Each topic is taught through accounting practice rather than standard-reading alone:

• Short technical briefings that unpack each paragraph group of IAS 38 and IPSAS 31
• Worked journal entries for software projects, licence acquisitions and donated systems
• Spreadsheet exercises on amortisation, revaluation and impairment calculations
• Comparison tables highlighting where public sector requirements differ from IFRS
• A capstone audit file review in which teams challenge another group's judgements

A CPD-accredited Certificate of Completion issued by Vision Reach Global Consultancy is awarded to each participant who attends the full five days and completes the daily accounting exercises and the final audit file review.