Governmental Accounting Standards

Governmental Accounting Standards refer to a set of guidelines that dictate how state and local governments in the United States prepare their financial statements. These standards, developed by the Governmental Accounting Standards Board (GASB), ensure transparency, consistency, and accountability in public financial reporting. They help provide citizens, policymakers, and investors with clear information about a government's financial health, including its revenues, expenses, and assets. By adhering to these standards, governments can foster trust and make informed decisions about budgeting and resource allocation.