10/30/17
Interfund Transactions
• Transfers / Distributions • Quasi-External Transactions • Fees / Taxes • Reimbursements • Interfund loans and advances
Reconciliation and IGRA Compliance
Guide Changes Proposed 1. Income Statement Presentation - including complimentary sales with a reduction for promotional allowances will no longer be an option. The complimentary revenue must be excluded all together from the revenue line items. 2. Clarification that cash sales incentives/change in progressive jackpot liabilities should be accounted for as a contra revenue. 3. Tier Status, this is an interesting addition. A determination of tier level benefits will need to be performed to determine whether the customer has: (a) received a material right relating to future goods or services or (b) is receiving a marketing or promotional offer as an incentive to obtain future revenue. Accordingly a material right would represent an obligation that would need to be valued and recorded with other liabilities. 4. Jackpot insurance premiums and proceeds received will now be recorded as expense and other income, respectably, rather than as a component of net gaming revenues. 5. Clarification is provided that adjustments to chip/token floats due to breakage estimates or chip line discontinuation are to be recorded as a component of net gaming revenues.
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