In accounting, private businesses are treated differently from government and nonprofit businesses. However, government and nonprofit companies have different reporting requirements than the private sector. Requirements for government corporations use the Government Accounting Standards Board (GASB), while for-profit and nonprofit businesses use the Financial Accounting Standards Board. This document will explain the purpose, discuss the similarities and differences between GASB and FASB. The Government Accounting Standards Board (GASB) is the independent organization that improves and establishes accounting standards for U.S. and local governments. It was established in 1984 by an agreement between the Financial Accounting Foundation and ten national associations of local governments. The mission of the GASB is "to establish and improve state and local government accounting and financial reporting standards that will result in useful information for users of financial reports, and to guide and educate the public and users of these financial reports (GASB 2014). ).” Their four core values ​​are: independence, integrity, objectivity and transparency. GASB is not a government entity and is a component of the Financial Accounting Foundation which is a non-profit private sector entity. GASB standards are not federal laws or regulations, and GASB does not have enforcement authority. However, the standards are enforceable through state laws and the auditing process. The standard-setting process follows due process, and the Government Accounting Standards Advisory Council consists of thirty members appointed by the trustees of the Financial Accounting Foundation. The...... middle of paper ......these between the FASB and GASB requirements. Journal of Public Budget, Accounting and Financial Management, 15(1), 41-65. Retrieved from http://search.proquest.com/docview/205012359?accountid=35796FASB (2014) FASB Facts. Retrieved from http://www.fasb.org/jsp/FASB/Page/SectionPage&cid=1176154526495Fischer, M. and Marsh, T. (2012). TWO ACCOUNTING STANDARD SETTERS: THE DIVERGENCE CONTINUES FOR NON-PROFIT ORGANIZATIONS. Journal of Public Budget, Accounting and Financial Management, 24(3), 429-465. Retrieved from http://search.proquest.com/docview/1231407540?accountid=35796GASB (2014) Mission, Vision and Core Values. Retrieved from http://www.gasb.org/jsp/GASB/Page/GASBSectionPage&cid=1175804850352Mcgraw-Hill, Irwin, (2010) Accounting for State and Local Government Business Activities. Retrieved from http://www.mccc.edu/~horowitk/documents/Chap007_001.pdf