Gaps in GAAP: Issues in Nonprofit Accounting and Reporting in India

INTRODUCTION
Nonprofit Organizations (NPOs) in India play an important role as change agents for social and economic development. As they command substantial resources, their financial performance measurement and reporting is a major concern. In the absence of a single regulatory authority and specific accounting standards for NPOs, the practices of accounting and reporting vary across organizations. Based on an exploratory study, this paper documents the status on requirements of accounting and reporting vis-à-vis the current practices of NPOs, identifies the gaps, and pro…