Hospitality Entities 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:

    • Rich Paul, Deloitte LLP (Chair)
    • Rick Arpin, MGM Resorts International
    • Andrew Corsini, KPMG LLP
    • Nick Daddario, Starwood Hotels & Resorts Worldwide Inc.
    • Allen Klingsick, Hilton Worldwide Holdings Inc.
    • Bradley O’Bryan, Hyatt Hotels Corporation
    • Scott Oaksmith, Choice Hotels International
    • Nick Rossi, Wyndham Worldwide Corp
    • Nancy Salisbury, Ernst & Young LLP
    • Marilyn Wilkins, Marriott International, Inc.
    Staff Contact: Renee Rampulla, revrecstaff@aicpa.org

    IDENTIFIED REVENUE RECOGNITION IMPLEMENTATION ISSUES

    Below is a list of potential revenue recognition implementation issues identified by the Hospitality Entities Revenue Recognition Task Force. The list will be updated as the task force continues it discussions. 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 Franchise Revenue Arrangements: initial franchise fees; multiple element considerations; accounting for marketing funds, income statement classification considerations for different revenue streams
    2 Managed Hotels: incentive fees; gross/net considerations (specifically reimbursable for payroll and other); guarantees
    3 Leased Hotels and Owned Hotels: distinguish from other arrangements, multiple element considerations
    4 Loyalty Programs: measurement of points and financial statement classification considerations; sale of points; credit card company arrangements
    5 Real Estate sales when a franchise arrangement or management is retained
    6 Contract Costs: incentives to owners including key money; development notes; development costs and other (including legal costs and other 3rd party costs)
    7 Disclosures


    FEEDBACK REQUESTED

    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 revreccomments@aicpa.org by the dates noted below:

    Issue # Comment Due Date


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



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