Financial Reporting Router v0.1
General reference only. This skill is general tax/accounting reference material for AI-assisted workflows. It has not been reviewed for any specific person's facts, documents, elections, deadlines, residency, filing status, or local procedures. Do not rely on it to file, pay, amend, or take a tax position without review by a qualified professional in the relevant jurisdiction.
What this file is
The entry point for the financial-reporting skill library. Before any topic
skill can run, two things must be settled: which framework the entity reports
under, and which standard(s) the transaction engages. This skill settles both,
then loads the workflow base and the right topic skill(s).
The user never sees this skill. They describe a transaction in plain language;
the router works silently and hands off.
The router computes nothing — no recognition, no measurement, no journal
entries. Its only job is framework detection, standard identification, scope
gating, sequencing, and handoff. If you find yourself booking an entry inside the
router, stop: you have skipped the handoff.
Step 0: Establish the reporting framework
Before routing, determine which framework governs the financial statements the
output will feed. Check, in order:
| Signal |
Example |
Framework |
| Explicit statement |
"we report under IFRS", "US GAAP filer" |
as stated |
| SEC registrant / US domestic filer |
"10-K", "Form S-1", "SEC" |
US GAAP |
| Local-GAAP-on-IFRS jurisdiction |
EU-listed, UK, Australia, most of Asia/Africa |
IFRS |
| US private company |
"GAAP", "ASC", "FASB", US-based, no IFRS mention |
US GAAP |
| Parent / subsidiary mismatch |
"US sub of a German group", "we file local + group" |
Dual reporter — both |
Dual reporters
If the entity prepares one set of statements under US GAAP and another under
IFRS (e.g. a US subsidiary consolidated into an IFRS group, or an IFRS company
with a US-GAAP-reporting segment), load both editions of every applicable
topic skill and run the computation under each, presenting the answers side by
side with the topic skill's Divergence section called out. Flag this to the
user explicitly — the divergence is usually the whole reason they asked.
If the framework is unclear
Ask ONE question and do not proceed until answered:
"Which framework do these statements report under — US GAAP, IFRS, or both
(e.g. a local statutory set plus a group-reporting set)? It changes the
citations and sometimes the answer."
Step 1: Identify the standard(s) the transaction touches
Match the fact pattern to a topic. A single transaction may hit more than one
row — that is normal and is handled in Step 3.
| Signal in the fact pattern |
Topic |
Skill (US GAAP / IFRS) |
| Sale of goods/services, contract with a customer, performance obligations, variable consideration, licences, bundled deliverables, "when do we recognise revenue" |
Revenue |
us-gaap-asc606-revenue / ifrs15-revenue |
| Right to use an asset for a period, rent, hire, charter, embedded lease, lessor/lessee, sale-and-leaseback |
Leases |
us-gaap-asc842-leases / ifrs16-leases |
| Instrument that could be a liability or equity — preferred shares, redeemable instruments, warrants, convertible notes, "is this debt or equity", puttable instruments |
Debt vs. equity |
us-gaap-debt-vs-equity / ias32-debt-vs-equity |
| One entity obtains control of a business — acquisition, merger, purchase-price allocation, goodwill on acquisition, bargain purchase, contingent consideration |
Business combinations |
us-gaap-asc805-business-combinations / ifrs3-business-combinations |
If the fact pattern matches a topic, route to it (Step 4). If it matches none,
go to Step 2.
Step 2: Scope gate — what this library does NOT cover yet
The library currently covers four topics. Many common questions sit just
outside them, and several are adjacent to a topic skill (the topic skill covers
initial recognition but a different standard governs the next step). Be honest:
route to the closest skill for the part that is covered, and explicitly name the
uncovered standard the user still needs.
| If the user actually needs... |
Governing standard (not yet covered) |
What to say |
| Goodwill / asset impairment testing |
ASC 350 / ASC 360 ; IAS 36 |
Business-combinations skill covers initial goodwill; impairment is a separate standard not yet in the library. |
| Income tax accounting, deferred tax |
ASC 740 ; IAS 12 |
Not covered. Deferred tax often interacts with every topic — flag it. |
| Financial instruments measurement / impairment (ECL), hedging |
ASC 326 / ASC 815 ; IFRS 9 |
Debt-vs-equity covers classification of the issuer's instrument only — not measurement, impairment, or hedge accounting. |
| Share-based payment |
ASC 718 ; IFRS 2 |
Not covered. |
| Inventory, PP&E, intangibles (standalone) |
ASC 330/360/350 ; IAS 2/16/38 |
Not covered except where acquired in a business combination. |
| Provisions, contingencies |
ASC 450 ; IAS 37 |
Not covered. |
| Consolidation, equity method, JVs |
ASC 810/323 ; IFRS 10/11, IAS 28 |
Business-combinations covers the acquisition accounting, not ongoing consolidation mechanics. |
| Foreign currency translation |
ASC 830 ; IAS 21 |
Not covered. |
| Statement presentation, cash-flow classification as a primary question |
ASC 205/230 ; IAS 1/7 |
Topic skills state where amounts land, but full statement presentation is not a standalone skill. |
Out-of-scope message template
"I can compute the part of this that falls under [covered topic], but the core
of your question is governed by [standard], which isn't in the financial-reporting
library yet. I'd flag that to your reviewer rather than guess. Want me to handle
the [covered part] and mark the [uncovered part] as an open item for sign-off?"
Never fabricate a treatment for an uncovered standard. Conservative-default
(workflow base §5) applies to missing facts within a covered topic — it is not
licence to improvise an uncovered standard.
Step 3: Sequence when multiple topics apply
Real transactions cross topics. When two or more rows in Step 1 match, apply them
in the right order — later steps depend on the outputs of earlier ones.
| Combined fact pattern |
Order |
Why |
| Business combination that includes contracts/leases/instruments |
Business combination first, then revenue / leases / debt-vs-equity on the acquired items |
Acquired assets and liabilities are first measured at fair value at the acquisition date (ASC 805 / IFRS 3); the topic skills then apply prospectively from that fair-value baseline. |
| Sale-and-leaseback |
Revenue first (is the transfer a sale under ASC 606 / IFRS 15?), then leases |
Whether a sale occurred determines whether leaseback or financing accounting applies. |
| Convertible / hybrid instrument issued to fund or settle a contract |
Debt vs. equity first (classify the instrument), then revenue/leases on the underlying deal |
Classification of the instrument is independent of, and precedes, the customer/lease accounting. |
| Any combination with a divergence-sensitive dual reporter |
Run the sequence under each framework separately |
Ordering can differ in effect even when steps are the same. |
State the sequence to the user before computing:
"This touches [topic A] and [topic B]. I'll do [A] first because [reason], then
[B] using A's output as the starting point."
Step 4: Handoff
Always load, in this order:
financial-reporting-workflow-base — the shared contract (output format, journal-entry format, flash points, self-checks).- The topic skill(s) identified in Step 1, in the edition fixed by Step 0:
- US GAAP filer → the
us-gaap-* edition
- IFRS filer → the
ifrs* / ias* edition
- Dual reporter → both editions
- Where Step 3 sequenced multiple topics, load them all and run in the stated order.
Then tell the user, in one line, what you loaded and what you'll produce:
"Loaded the workflow base + [topic skill(s), edition]. I'll produce the
conclusion, journal entries (day 1 + subsequent), statement impact, disclosure
checklist, and a reviewer brief. I'll ask for any missing facts first."
Hand control to the workflow base's structured intake (§6) — do not start asking
for facts inside the router.
Router self-checks
Before handing off, confirm:
PROHIBITIONS
- NEVER compute, classify, or book an entry inside the router — route and hand off.
- NEVER load a topic skill without also loading
financial-reporting-workflow-base.
- NEVER guess the reporting framework — ask if unclear.
- NEVER fabricate a treatment for a standard the library does not cover — name it and flag it.
- NEVER pick a single edition for a dual reporter — load both and show the divergence.
- NEVER run multi-topic transactions out of order — business combination before the topics on acquired items; revenue (sale test) before leaseback.
Disclaimer
This skill routes between computational guidance skills for US GAAP and IFRS. It
does not constitute accounting, audit, or financial advice, is not an assurance
engagement, and does not produce filed financial statements. Recognition,
measurement, and disclosure frequently turn on entity-specific facts and
significant judgement. All outputs of the skills this router loads must be reviewed
and signed off by a qualified accountant (CPA, ACCA, Chartered Accountant, or
equivalent) before they are reflected in financial statements relied upon by third
parties.
The most up-to-date, verified version of this skill is maintained at
openaccountants.com.
Source: OpenAccountants — open tax Guides for AI, reviewed by named CPAs/CAs/EAs. Quality: source-cited draft. For always-current figures and named-accountant backing, connect the OpenAccountants MCP server (openaccountants-mcp).
1---2name: financial-reporting-router3description: > Entry point for the OpenAccountants financial-reporting (US GAAP / IFRS) skill library. ALWAYS load this skill first when a user asks how to account for, recognise, measure, classify, or disclose a transaction under US GAAP or IFRS — e.g. "how do I book this contract", "is this a lease", "debt or equity", "how do I account for this acquisition", "revenue recognition for...", "what's the journal entry for...". The router does not compute anything. It (1) establishes the entity's reporting framework, (2) identifies which accounting standard(s) the transaction touches, (3) gates out transactions whose governing standard the library does not yet cover, (4) sequences the topic skills when more than one applies, and (5) hands off to the financial-reporting-workflow-base plus the correct topic content skill(s). Every topic skill (revenue, leases, debt vs. equity, business combinations) assumes this routing step has happened first.4license: AGPL-3.0-or-later (code) / OpenAccountants Guide License v1.0 (c5---67# Financial Reporting Router v0.189> **General reference only.** This skill is general tax/accounting reference material for AI-assisted workflows. It has not been reviewed for any specific person's facts, documents, elections, deadlines, residency, filing status, or local procedures. Do not rely on it to file, pay, amend, or take a tax position without review by a qualified professional in the relevant jurisdiction.1011## What this file is1213The **entry point** for the financial-reporting skill library. Before any topic14skill can run, two things must be settled: *which framework* the entity reports15under, and *which standard(s)* the transaction engages. This skill settles both,16then loads the workflow base and the right topic skill(s).1718**The user never sees this skill.** They describe a transaction in plain language;19the router works silently and hands off.2021The router **computes nothing** — no recognition, no measurement, no journal22entries. Its only job is framework detection, standard identification, scope23gating, sequencing, and handoff. If you find yourself booking an entry inside the24router, stop: you have skipped the handoff.2526---2728## Step 0: Establish the reporting framework2930Before routing, determine which framework governs the financial statements the31output will feed. Check, in order:3233| Signal | Example | Framework |34|--------|---------|-----------|35| Explicit statement | "we report under IFRS", "US GAAP filer" | as stated |36| SEC registrant / US domestic filer | "10-K", "Form S-1", "SEC" | US GAAP |37| Local-GAAP-on-IFRS jurisdiction | EU-listed, UK, Australia, most of Asia/Africa | IFRS |38| US private company | "GAAP", "ASC", "FASB", US-based, no IFRS mention | US GAAP |39| Parent / subsidiary mismatch | "US sub of a German group", "we file local + group" | **Dual reporter — both** |4041### Dual reporters4243If the entity prepares one set of statements under US GAAP and another under44IFRS (e.g. a US subsidiary consolidated into an IFRS group, or an IFRS company45with a US-GAAP-reporting segment), load **both editions** of every applicable46topic skill and run the computation under each, presenting the answers side by47side with the topic skill's **Divergence** section called out. Flag this to the48user explicitly — the divergence is usually the whole reason they asked.4950### If the framework is unclear5152Ask ONE question and do not proceed until answered:5354> "Which framework do these statements report under — US GAAP, IFRS, or both55> (e.g. a local statutory set plus a group-reporting set)? It changes the56> citations and sometimes the answer."5758---5960## Step 1: Identify the standard(s) the transaction touches6162Match the fact pattern to a topic. A single transaction may hit **more than one**63row — that is normal and is handled in Step 3.6465| Signal in the fact pattern | Topic | Skill (US GAAP / IFRS) |66|---|---|---|67| Sale of goods/services, contract with a customer, performance obligations, variable consideration, licences, bundled deliverables, "when do we recognise revenue" | **Revenue** | `us-gaap-asc606-revenue` / `ifrs15-revenue` |68| Right to use an asset for a period, rent, hire, charter, embedded lease, lessor/lessee, sale-and-leaseback | **Leases** | `us-gaap-asc842-leases` / `ifrs16-leases` |69| Instrument that could be a liability or equity — preferred shares, redeemable instruments, warrants, convertible notes, "is this debt or equity", puttable instruments | **Debt vs. equity** | `us-gaap-debt-vs-equity` / `ias32-debt-vs-equity` |70| One entity obtains control of a business — acquisition, merger, purchase-price allocation, goodwill on acquisition, bargain purchase, contingent consideration | **Business combinations** | `us-gaap-asc805-business-combinations` / `ifrs3-business-combinations` |7172If the fact pattern matches a topic, route to it (Step 4). If it matches none,73go to Step 2.7475---7677## Step 2: Scope gate — what this library does NOT cover yet7879The library currently covers **four** topics. Many common questions sit just80outside them, and several are *adjacent* to a topic skill (the topic skill covers81initial recognition but a different standard governs the next step). Be honest:82route to the closest skill for the part that is covered, and explicitly name the83uncovered standard the user still needs.8485| If the user actually needs... | Governing standard (not yet covered) | What to say |86|---|---|---|87| Goodwill / asset **impairment** testing | ASC 350 / ASC 360 ; IAS 36 | Business-combinations skill covers *initial* goodwill; impairment is a separate standard not yet in the library. |88| **Income tax** accounting, deferred tax | ASC 740 ; IAS 12 | Not covered. Deferred tax often *interacts* with every topic — flag it. |89| **Financial instruments** measurement / impairment (ECL), hedging | ASC 326 / ASC 815 ; IFRS 9 | Debt-vs-equity covers *classification* of the issuer's instrument only — not measurement, impairment, or hedge accounting. |90| **Share-based payment** | ASC 718 ; IFRS 2 | Not covered. |91| **Inventory**, PP&E, intangibles (standalone) | ASC 330/360/350 ; IAS 2/16/38 | Not covered except where acquired in a business combination. |92| **Provisions**, contingencies | ASC 450 ; IAS 37 | Not covered. |93| **Consolidation**, equity method, JVs | ASC 810/323 ; IFRS 10/11, IAS 28 | Business-combinations covers the acquisition accounting, not ongoing consolidation mechanics. |94| **Foreign currency** translation | ASC 830 ; IAS 21 | Not covered. |95| **Statement presentation**, cash-flow classification as a primary question | ASC 205/230 ; IAS 1/7 | Topic skills state where amounts land, but full statement presentation is not a standalone skill. |9697### Out-of-scope message template9899> "I can compute the part of this that falls under [covered topic], but the core100> of your question is governed by [standard], which isn't in the financial-reporting101> library yet. I'd flag that to your reviewer rather than guess. Want me to handle102> the [covered part] and mark the [uncovered part] as an open item for sign-off?"103104Never fabricate a treatment for an uncovered standard. Conservative-default105(workflow base §5) applies to *missing facts within a covered topic* — it is not106licence to improvise an uncovered standard.107108---109110## Step 3: Sequence when multiple topics apply111112Real transactions cross topics. When two or more rows in Step 1 match, apply them113in the **right order** — later steps depend on the outputs of earlier ones.114115| Combined fact pattern | Order | Why |116|---|---|---|117| **Business combination** that includes contracts/leases/instruments | **Business combination first**, then revenue / leases / debt-vs-equity on the acquired items | Acquired assets and liabilities are first measured at fair value at the acquisition date (ASC 805 / IFRS 3); the topic skills then apply *prospectively* from that fair-value baseline. |118| **Sale-and-leaseback** | **Revenue first** (is the transfer a sale under ASC 606 / IFRS 15?), then **leases** | Whether a sale occurred determines whether leaseback or financing accounting applies. |119| **Convertible / hybrid instrument** issued to fund or settle a contract | **Debt vs. equity first** (classify the instrument), then revenue/leases on the underlying deal | Classification of the instrument is independent of, and precedes, the customer/lease accounting. |120| Any combination with a **divergence-sensitive** dual reporter | Run the sequence under each framework separately | Ordering can differ in effect even when steps are the same. |121122State the sequence to the user before computing:123124> "This touches [topic A] and [topic B]. I'll do [A] first because [reason], then125> [B] using A's output as the starting point."126127---128129## Step 4: Handoff130131Always load, in this order:1321331. `financial-reporting-workflow-base` — the shared contract (output format, journal-entry format, flash points, self-checks).1342. The topic skill(s) identified in Step 1, in the **edition** fixed by Step 0:135 - US GAAP filer → the `us-gaap-*` edition136 - IFRS filer → the `ifrs*` / `ias*` edition137 - Dual reporter → **both** editions1383. Where Step 3 sequenced multiple topics, load them all and run in the stated order.139140Then tell the user, in one line, what you loaded and what you'll produce:141142> "Loaded the workflow base + [topic skill(s), edition]. I'll produce the143> conclusion, journal entries (day 1 + subsequent), statement impact, disclosure144> checklist, and a reviewer brief. I'll ask for any missing facts first."145146Hand control to the workflow base's structured intake (§6) — do not start asking147for facts inside the router.148149---150151## Router self-checks152153Before handing off, confirm:154155- [ ] Reporting framework established (or the one clarifying question asked)156- [ ] Every standard the fact pattern touches identified — including the *adjacent* ones in Step 2157- [ ] Anything uncovered named honestly, not improvised158- [ ] Multi-topic transactions sequenced, with the order stated to the user159- [ ] Correct edition(s) selected for the framework (both, for dual reporters)160- [ ] Workflow base loaded alongside the topic skill(s) — never a topic skill alone161162---163164## PROHIBITIONS165166- NEVER compute, classify, or book an entry inside the router — route and hand off.167- NEVER load a topic skill without also loading `financial-reporting-workflow-base`.168- NEVER guess the reporting framework — ask if unclear.169- NEVER fabricate a treatment for a standard the library does not cover — name it and flag it.170- NEVER pick a single edition for a dual reporter — load both and show the divergence.171- NEVER run multi-topic transactions out of order — business combination before the topics on acquired items; revenue (sale test) before leaseback.172173---174175## Disclaimer176177This skill routes between computational guidance skills for US GAAP and IFRS. It178does not constitute accounting, audit, or financial advice, is not an assurance179engagement, and does not produce filed financial statements. Recognition,180measurement, and disclosure frequently turn on entity-specific facts and181significant judgement. All outputs of the skills this router loads must be reviewed182and signed off by a qualified accountant (CPA, ACCA, Chartered Accountant, or183equivalent) before they are reflected in financial statements relied upon by third184parties.185186The most up-to-date, verified version of this skill is maintained at187[openaccountants.com](https://openaccountants.com).188189---190191_Source: [OpenAccountants](https://openaccountants.com/skills/financial-reporting-router) — open tax Guides for AI, reviewed by named CPAs/CAs/EAs. Quality: **source-cited draft**. For always-current figures and named-accountant backing, connect the OpenAccountants MCP server (`openaccountants-mcp`)._
openaccountants