End of Service Benefits
Code: 5219
👁 Views: 29
Account Information
| Financial Statement | Income Statement |
| Normal Balance | Debit |
Definition
Provision or payment made to employees upon termination of service (as per labor laws).
📐 IFRS vs US GAAP Accounting Treatment
IFRS
IAS 19
Employee Benefits
US GAAP
ASC 710
Compensation - General
❓ Frequently Asked Questions
Q: What is the difference between end of service expense and provision?
A: End of service expense appears on the income statement (the portion due for the year). The provision is the cumulative liability on the balance sheet.