Browse 3 Gruv blog articles tagged Asc 606. Coverage includes Tax Residency & Compliance and Payment Protection & Finance. Practical guides, examples, and checklists for cross-border payments, tax, compliance, invoicing, and global operations.
If you handle commissions or similar deal costs, start with two GAAP tests: is the cost incremental to obtaining a customer contract, and do you expect to recover it? If either answer is no, expense treatment is usually the right starting point.
Many global subscription platforms can start from one operating assumption: IFRS 15 and ASC 606 are aligned enough that you may be able to standardize much of your revenue recognition governance. They are not so aligned that every judgment call can be treated as interchangeable. The goal is practical: cut duplicate policy work without letting a real accounting difference or contract nuance slip into close week.
Use revenue recognition as an operating control, not a year-end cleanup task. If you make decisions from cash balance alone, you can spend against cash that is not earned yet. Under ASC 606, cash collected before you transfer the promised service is a [contract liability](https://dart.deloitte.com/USDART/home/codification/revenue/asc606-10/roadmap-revenue-recognition/chapter-14-presentation/14-2-contract-liabilities), commonly called deferred revenue, until that service is delivered.