Wednesday, August 4, 2021
The AASB has updated its Standard-Setting Frameworks, which set out the principles followed in setting the requirements of Standards for for-profit and not-for-profit entities.
Both the AASB For-Profit Entity Standard-Setting Framework and the AASB Not-for-Profit Entity Standard-Setting Framework were updated to clarify the principles followed by the AASB when it considers whether to add to or amend disclosure requirements in AASB 1060 General Purpose Financial Statements – Simplified Disclosures for For-Profit and Not-for-Profit Tier 2 Entities for amendments made by the IASB to full IFRS Standards (and therefore Tier 1 Standards). The amendments clarify that these principles also apply to circumstances when the IASB makes disclosure-only amendments to IFRS Standards.
In addition, the Standard-Setting Frameworks now refer to Tier 2 requirements only in terms of Simplified Disclosures, with the deletion of references to Reduced Disclosure Requirements.