International Public Sector Accounting Standard — Heritage

IPSAS 45, Heritage, is an International Public Sector Accounting Standard issued by the International Public Sector Accounting Standards Board (IPSASB) in May 2023, with mandatory effective dates from 1 January 2026 (early adoption permitted). The standard sets out requirements for the recognition, measurement, presentation, and disclosure of heritage items by public-sector entities, replacing the previously fragmented treatment of heritage under IPSAS 17, Property, Plant and Equipment.

IPSAS 45 defines heritage items as items intended to be held indefinitely for the benefit of present and future generations because of their cultural, environmental, historical, natural, scientific, technological, or artistic significance. It permits entities to either recognise heritage items on the statement of financial position when their fair value or cost can be measured reliably, or disclose them in the notes when reliable measurement is not possible. The standard explicitly addresses the long-standing practical difficulties of accounting for unique, irreplaceable items.

[Editor draft - based on canonical knowledge of IPSASB pronouncements; verify against the IPSASB Handbook before applying to financial statements.]