Draft of a new version of IDW RS HFA 5

On 15 December 2023, the Expert Committee on Corporate Reporting (FAB) of the Institute of Public Auditors in Germany (IDW) adopted the draft of a new version of the IDW Statement on Accounting: Accounting by Foundations (IDW ERS HFA 5 n.F.) and published it on the IDW website.

The Act on the Standardisation of Foundation Law, which came into force on 1 July 2023, partially reformed private foundation law. With regard to accounting, the structure and items of the foundation's assets and equity were standardised nationwide for the first time.

Due to the reform of private foundation law, it was necessary to revise the IDW Statement on Accounting: Accounting for Foundations (IDW RS HFA 5). In particular, the statements on the structure and maintenance of items of the foundation's assets and on individual items of the foundation's equity were revised and references were updated.

The FAB recommends applying the draft of the new version of the pronouncement already.

The IDW is requesting suggestions for amendments and additions to the draft by 30 April 2024.

You can download the draft here.