Airlines Revenue Recognition Task Force 

    AICPA Revenue Recognition Task Forces are charged with developing revenue recognition implementation issues that will provide helpful hints and illustrative examples for how to apply the new Revenue Recognition Standard.

    Task Force Members:

    • Dave Dickson, Ernst & Young LLP (Chair)
    • Rachel Bell, Virgin America
    • Stewart Bell, United
    • Chris Berry, Alaska Air Group
    • LeAnna Buchwald, JetBlue
    • Mike Carreon, American Airlines
    • Robert Gordon, Deloitte LLP
    • Craig Isakson, KPMG LLP
    • Leah Koontz, Southwest Airlines
    • Craig Meynard, Delta
    • Simon Whitehead, PricewaterhouseCoopers LLP
    • Eric Woodward, Skywest
    Staff Contact: Yelena Mishkevich,


    Revenue recognition implementation issues identified by the Airlines Revenue Recognition Task Force, when available, will be posted here.  Full revenue recognition implementation issues will be posted below for informal comments after review by the AICPA Financial Reporting Executive Committee (FinREC).

    Issue # Description of Implementation Issue
    1 Regional contracts
    2 Joint venture revenue sharing agreements
    3 Passenger tickets – Breakage
    4 Ancillary services
    • This implementation issue will discuss considerations for applying the guidance in FASB ASC 606 to ancillary services and related fees charged by airlines.
    5 Interline transactions
    • This implementation issue will discuss considerations for applying the guidance in FASB ASC 606, including classification under principal vs. agent for arrangements that airlines have amongst each other to sell tickets under which one or more segments of the journey will be flown by another carrier.
    6 Consideration of Significant Financing Component in Advance Mile Purchases and Miles in Customers’ Accounts. This implementation issues provides considerations for determining if customer miles and advance mile purchases, in which the airline receives time value benefit, contain a significant financing component.
    7 Cargo transactions
    8 Accounting for Contract Costs - Commissions and Selling Costs. This implementation issue provides considerations for determining whether typical costs incurred in obtaining a ticket qualify for capitalization and, if so, over what would be the appropriate amortization period.
    9 Maintenance power-by-the-hour services
    10 Taxes
    11 Change Fees. This implementation issue provides considerations for applying the guidance in ASC 606 to airline change fees, and whether changes made to an existing itinerary qualify as a distinct service, what would be the appropriate revenue classification, and if there are any unique disclosures to be made.
    12 Disclosures
    13 Ticket Level Performance Obligations
    14 Transition


    Draft Revenue Recognition Implementation Issues included for informal comment, when available, will be listed below.

    Respondents should submit any comments including the implementation issue number to by the dates noted below:

    Issue # Comment Due Date

    The Airlines Revenue Recognition Task Force recommends the following AICPA products for current revenue recognition issues:

    A A A

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