The question “do we consolidate this entity?” is answered differently: US GAAP runs two models, IFRS runs a single control model — which can produce different consolidation conclusions for the same structured entity.
| Area | US GAAP (ASC 810) | IFRS (IFRS 10) |
|---|---|---|
| Models | Two — the variable-interest-entity (VIE) model and the voting-interest model | One — the control model |
| Control | VIE: the primary beneficiary; voting: > 50% | Power over the investee + exposure to variable returns + ability to use power to affect those returns |
| De facto control / potential voting rights | Weighed within the models | Explicitly considered |
Structured entities (special-purpose vehicles, securitizations) are where the dual vs single model most often diverges.
An educational reference and original synthesis — not investment advice, and not a substitute for the standard or for professional accounting guidance. For authoritative measurement detail, consult ASC 810 / IFRS 10 directly.