Proposed new revenue and transfer expense accounting requirements for PBEs
We have issued exposure drafts (EDs) for two new PBE Standards – PBE IPSAS 47 Revenue and PBE IPSAS 48 Transfer Expenses. These proposed standards aim to provide clearer guidance for revenue and transfer expense accounting and improve the consistency, comparability and transparency of financial reporting for public benefit entities.
To allow entities ample time to consider the implications of these proposed standards, these consultations will be open until 1 December 2025.
Webcast with Ian Carruthers, IPSASB Chair
ED PBE IPSAS 47 and ED PBE IPSAS 48 are based on IPSAS 47 Revenue and IPSAS 48 Transfer Expenses, issued by the International Public Sector Accounting Standards Board (IPSASB) in 2023. We have modified the IPSAS Standards to ensure they are fit for purpose in the New Zealand context.
| Watch our interview with Ian Carruthers, Chair of the IPSASB, where he shares his insights and perspectives on the IPSASB’s development of IPSAS 47 and IPSAS 48 and key aspects of these new standards. |
A consistent foundation – the binding arrangement principle
At the heart of ED PBE IPSAS 47 and ED PBE IPSAS 48 is the concept of a binding arrangement, defined as follows:
| A binding arrangement is an arrangement that confers both rights and obligations, enforceable through legal or equivalent means, on the parties to the arrangement. |
The presence of this fundamental principle in both EDs ensures consistent recognition principles for both revenue and transfer expenses. However, determining whether a binding arrangement exists is a key judgement, as it affects how revenue and transfer expense transactions are recognised, measured, presented and disclosed in the financial statements.
| For a high-level overview of this fundamental principle, watch our short webcast. |
Access the Exposure Drafts
You can access each Exposure Draft, along with consultation documents and educational resources, on our dedicated pages:
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Upcoming events
We will discuss these new proposals at upcoming Need to Know webinars. You can register using the links below:
Keep an eye on this page for details of further events and feedback opportunities that will be added throughout the consultation period.
Have your say
We welcome your feedback on these important proposals.
Submit your comments:
- Directly to the XRB by email to accounting@xrb.govt.nz; or
- Complete the form below.
The consultation closes on Monday 1 December 2025.
All submissions will be published on the XRB website unless confidentiality is requested. If you object to the release of any information in your submission, please identify the specific parts and the reasons under the Official Information Act 1982. We reserve the right not to publish defamatory submissions. Submissions are subject to the Official Information Act 1982 and the Privacy Act 2020. The XRB will handle personal information in accordance with these Acts.