US GAAP Groups · Track 1 · Tutorial 1 of 2

Switch on US GAAP and classify equity

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Your group presents its consolidated statements under US GAAP. Switching US GAAP on makes the five US GAAP statements available; classifying the equity accounts tells them which line each account belongs on.

You will needYour group set up and mapped to one Common COA, as in the Foundations series. The Free, Pro or Premium edition, and data administrator access in BrizoConsol.

By the endUS GAAP switched on for Your Group, every equity account with a US GAAP line classified, and the revaluation reserve that has no US GAAP line identified.

1Know what switching on US GAAP does

In this series’ running example, Your Group reports in SGD and owns Company A, Company B (80%, in AUD) and Company C (in GBP), as in the Foundations series. The group presents its consolidated statements under US GAAP. Each company keeps its own books under whatever standard applies to it.

What changes	The presentation. Five US GAAP statements become available on the group — Consolidated Balance Sheets, Consolidated Statements of Operations, Consolidated Statements of Comprehensive Income, Consolidated Statements of Changes in Stockholders’ Equity, and Consolidated Statements of Cash Flows, listed under US GAAP — and they place accounts by the classifications you set.
What doesn’t	The figures. There is one consolidation: every load, elimination and journal is part of it, and the US GAAP statements are built from the same totals as the Base reports. There are no US GAAP-only entries.
Where it is set	On the group. Its classifications are on the group’s Common COA.

Your Group’s equity accounts in the Common COA each assigned to a US GAAP line: Common Stock, Additional Paid-in Capital, Retained Earnings, Foreign Currency Translation Adjustment, and the three NCI accounts to Non-Controlling Interests; 3400 Revaluation Reserve has no US GAAP line — Each equity account goes to one US GAAP line — except the revaluation reserve.

The US GAAP balance sheets show equity line by line. An equity account that isn’t classified isn’t on any line, so its balance is missing from the statement’s equity. Classify every equity account that has a US GAAP line.

2Switch on US GAAP

Select Your Group in the entity selector.
Open Settings → Organisation Settings → Accounting Standard. The page says Applies to: Your Group.
Under Enabled Standard, choose US GAAP.

Only one standard can be enabled. Base, the reports without a standard’s presentation, is always there alongside it. Don’t save yet — classify the accounts first, then save once.

3Classify the equity accounts

Under Account Classifications, choose Equity in the Type column. US GAAP is selected at the top right.
On a line, click Select accounts. Select Equity Accounts lists the equity accounts in the Common COA; tick the account, or search by code or name, and click Apply.
Repeat for each line your group uses, then click Save Changes.

Select Equity Accounts for Foreign Currency Translation Adjustment: 3500 CTA Reserve ticked, then Apply — The CTA reserve goes to Foreign Currency Translation Adjustment (1).

For Your Group:

Line	Accounts
Common Stock, Additional Paid-in Capital, Treasury Shares	3000 Share Capital and 3100 Share Premium. Your Group holds no treasury shares; the line shows as Treasury Stock on the balance sheets.
Retained Earnings	3200 Retained Earnings. The year’s net income is added to this line on its own, so don’t look for a current year earnings account to classify.
Foreign Currency Translation Adjustment	3500 CTA Reserve, the account BrizoConsol posts the CTA to. It is part of accumulated other comprehensive income (AOCI).
Cash Flow Hedge Gains/Losses, Unrealised Gains/Losses on Securities, Pension Adjustments	The other AOCI components. Leave a line with no account if the group has none.
Equity Transaction Reserve	The reserve for changes in a subsidiary’s ownership that don’t change control, if you keep one. It sits in stockholders’ equity, outside AOCI.
Non-Controlling Interest	All the NCI accounts BrizoConsol posts to: 3600 NCI Net Assets, 3610 NCI Share of Profit and 3620 NCI Share of CTA, and NCI Share of Other Reserves if the group has one.
Acquisition Accounting Adjustment	The account your acquisition entries post to, if you use one.

Accounts that the Common COA got by copying a company’s chart, importing a file or AI Suggest come with a classification already filled in when their name is a common one, such as Share Capital or Retained Earnings. Check those, and fill the rest. Accounts you create yourself — such as the CTA reserve set up from its own page, or an account added on the Common COA — start unclassified. NCI accounts created in Posting accounts on the Ownership page are classified from their names, so check they are on Non-Controlling Interest.

4Deal with the revaluation reserve

US GAAP carries property, plant and equipment at cost, so there is no revaluation reserve line to classify 3400 Revaluation Reserve on. Your Group’s 3400 holds 50,000, from Company A revaluing its land under its local standard.

Until it is reversed	The 50,000 isn’t on any line of the US GAAP balance sheets, so Total Equity there is 50,000 less than on the Balance Sheet, and Total Liabilities and Stockholders’ Equity is 50,000 less than Total Assets.
To fix it	Reverse the revaluation with a GAAP journal on the group, which takes it out of both the land and the reserve — see Bring subsidiaries’ local-standard figures onto US GAAP. Don’t classify 3400 on another line to make the totals agree: that would show a revaluation US GAAP doesn’t allow.

5Check the equity agrees

Open Reports → All Reports. The five US GAAP statements are now listed.
Open Consolidated Balance Sheets for 2026.
Open the group’s Balance Sheet for the same date.

Check

Total Equity on the US GAAP balance sheets is the Balance Sheet’s equity less the 3400 balance — for Your Group, 1,817,100 less 50,000, so 1,767,100. Once the revaluation is reversed, the two agree, and Total Liabilities and Stockholders’ Equity equals Total Assets.

A warning sign next to Balance Sheet, Equity, P&L or CF means at least one line on that tab has no account. It stays for lines your group doesn’t use, such as Pension Adjustments here, so use the check above rather than the sign. The P&L and CF lines are next — see Classify profit and loss and cash flow lines.

6If something goes wrong

Total Equity on the US GAAP balance sheets is short by more than the revaluation reserve	An equity account isn’t classified. Open Equity and find the account that isn’t on any line — often the CTA reserve or an NCI account. In the example, leaving out 3500 CTA Reserve and the three NCI accounts makes it short by a further 77,700.
There is no Revaluation Reserve line on the Equity tab	US GAAP has none. Reverse the revaluation with a GAAP journal, as in step 4.
The US GAAP statements aren’t in All Reports	US GAAP isn’t enabled for the selected entity, or it isn’t saved. Select Your Group, enable US GAAP and click Save Changes. The standard is set for each entity, and its statements are listed only where it is enabled — here, on the group.
No equity-related accounts found in Common COA.	The Common COA has no equity accounts yet. Build it first — see Map every company to one group chart of accounts.
Upgrade to Pro for Accounting Standard	The subscription is on Standard, which doesn’t include accounting standards.
A new equity account appears later	It starts unclassified unless its name is a common one. Add it to its line and save.

Want more detail? See the documentation

Accounting Standards Common Chart of Accounts Posting Journal Adjustments (IFRS / GAAP)

Next in Set up US GAAP reporting Classify profit and loss and cash flow lines All tutorials