Statements of Position definition

What are Statements of Position?

Statements of position are recommendations regarding accounting issues that are occasionally produced by the American Institute of Certified Public Accountants ( AICPA ). Statements of position are intended to revise or improve upon the guidance included in previously-issued audit guides and accounting guides, as well as to provide guidance on specific audit topics. Once a statement of position is issued, the Financial Accounting Standards Board ( FASB ) may incorporate some elements of it in the FASB's formulation of new accounting standards . The last statement of position was issued in 2013.

Below is a list of some notable SOPs issued by the AICPA, grouped by subject matter:

Accounting-Related SOPs

SOP 81-1: Accounting for Performance of Construction-Type and Certain Production-Type Contracts.
SOP 92-1: Accounting for Real Estate Syndication Income.
SOP 93-7: Reporting on Advertising Costs.
SOP 97-2: Software Revenue Recognition.
SOP 98-1: Accounting for the Costs of Computer Software Developed or Obtained for Internal Use.
SOP 01-6: Accounting by Certain Entities (Including Entities with Trade Receivables) That Lend to or Finance the Activities of Others.

Auditing-Related SOPs

SOP 94-6: Disclosure of Certain Significant Risks and Uncertainties.
SOP 01-2: Determination of Properly Designated Hedging Relationships for Auditors.

Industry-Specific SOPs

SOP 85-1: Accounting by Providers of Continuing Care Retirement Communities.
SOP 90-7: Financial Reporting by Entities in Reorganization Under the Bankruptcy Code.
SOP 92-6: Accounting and Reporting by Health and Welfare Benefit Plans.
SOP 03-3: Accounting for Certain Loans or Debt Securities Acquired in a Transfer.

Other SOPs

SOP 94-4: Application of the Depository and Lending Institutions Guide to Certain Mortgage Banking Activities.
SOP 96-1: Environmental Remediation Liabilities.