AASB Exposure Draft ED 323 Disclosure of Non-current Liabilities with Covenants – Proposed Amendments to Tier 2

Thursday, March 16, 2023

AASB ED 323 proposes amendments to AASB 1060 General Purpose Financial Statements – Simplified Disclosures for For-Profit and Not-for-Profit Tier 2 Entities to clarify the criteria for classifying a liability as either current or non-current and improve the information disclosed in financial statements about certain non-current liabilities with covenants.

The proposed amendments:

It is proposed that the amendments would apply to annual periods beginning on or after 1 January 2024, with earlier application permitted.

The amendments proposed to AASB 1060 are consistent with amendments already made to AASB 101 Presentation of Financial Statements by AASB 2020-1 Amendments to Australian Accounting Standards – Classification of Liabilities as Current or Non-Current and AASB 2022-6 Amendments to Australian Accounting Standards – Non-current Liabilities with Covenants. The amendments to AASB 1060 are necessary to ensure there is consistency in the terminology used in Australian Accounting Standards to minimise the risk of interpretation and application differences.

Please submit your comments to the AASB by 22 May 2023, via the AASB website or email

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