INTRODUCTION
The objective of this Technical Accounting (TA) Alert is to:
- provide information on new and revised Accounting Standards that are mandatorily applicable for the first time to 30 June 2023 annual and/or half-year ends; and
- highlight other recent financial reporting developments.
This TA Alert incorporates all the relevant pronouncements and developments as at 8 May 2023. Entities should also consider any new pronouncements issued, or developments taking place, after this date if they are relevant for the financial year and/or half-year ending 30 June 2023.
For a list of all the pronouncements issued by the AASB and the IASB that are not yet effective, refer to our latest TA Alert on this topic on our Technical Accounting Alerts hub.
OVERVIEW
The new and revised Australian accounting requirements that are mandatory for the first time to annual and/or half-year reporting periods ending 30 June 2023 are summarised on the overleaf.
| Standard / Interpretation |
Mandatory effective date (Annual periods beginning on or after…) |
Applicable for the first time to year ending 30 June 2023 |
Applicable for the first time to half-year ending 30 June 2023 |
| AASB 2020-3 Amendments to Australian Accounting Standards – Annual Improvements 2018-2020 and Other Amendments |
1 January 2022 |
ü |
x |
| AASB 2021-7a Amendments to Australian Accounting Standards – Effective Date of Amendments to AASB 10 and AASB 128 and Editorial Corrections [general editorials] |
1 January 2022 |
ü |
x |
| AASB 2022-3 Amendments to Australian Accounting Standards – Illustrative Examples for Not-for-Profit Entities accompanying AASB 15 |
1 July 2022 |
ü |
ü |
| AASB 2023-2 Amendments to Australian Accounting Standards – International Tax Reform – Pillar Two Model Rules |
1 January 2023 |
ü |
x |
FIRST TIME APPLICATION TO FULL-YEAR REPORTING PERIODS ENDING 30 JUNE 2023
There are a few new and revised standards that became effective for the annual/half-year periods ending 30 June 2023. This TA Alert focuses only on standards and interpretations with relatively significant changes. The above standards are unlikely to have any significant impact of entities.
Note that TA 2023-4 covers the amendments made by AASB 2020-3 in relation to AASB 116 Property, Plant and Equipment.
OTHER DEVELOPMENTS THAT ARE RELEVANT TO ANNUAL PERIODS ENDING 30 JUNE 2023
Australian Charities and Not-for-profits Commission Amendment (2021 Measures No.3) Regulation 2021
The ACNC Amendment (2021 Measures No.3) Regulations 2021 was passed on 11 November 2021 and requires medium and large charities, other than basic religious charities, to disclose other related party transactions that do not relate to the disclosure of compensation to key management personnel in their special purpose annual financial reports in accordance with AASB 124 Related Party Disclosures for the 2022-23 financial year onwards.
ASIC focus areas for 30 June 2023
The Australian Securities and Investments Commission (ASIC) focus areas for 30 June 2023 have not been released at the time of this document. However, once they are released, they will be available in a separate Technical Accounting Alert on our website.
