Financials RDR vs SDS Comparison

Our Caseware content expert, Carmen Ridley ( has provided a detailed side-by-side Financials RDR vs SDS comparison. In this lengthy document, Carmen reviews both Reduced Disclosure Regime [RDR] financial statements vs a Simplified Disclosure Standard [SDS]) statements for a large corporate organisation.

Update (Oct 2021)

A similar document for NOT FOR PROFITS has also been completed. Click here to access the NFP version.

The purpose of this paper is to provide a comparison using Caseware Large Pty Ltd sample entity to show the differences at a financial statement note level between RDR and the Simplified Disclosure Standard. It was developed to allow entities who previously prepared RDR financial statements to understand the different disclosure requirements for the Simplified Disclosure (SD) financial statements.   

This is a fairly detailed document.

Using Financials that were generated by our desktop Financials IFRS product in both RDR & SDS for the same fictitious entity, Carmen illustrates what changes are required between each of these different standards. For each area, Carmen notes areas for which there is ‘no change’ or highlights where the changes should occur. In a number of instances, Carmen provides examples of what these could look like.

As Carmen specifies in this Financials RDR vs SDS comparison:

30 June 2021 is the last June reporting period for reduced disclosure (RDR) financial statements. All entities currently preparing RDR financial statements will need to change their reporting framework for annual reporting periods beginning on or after 1 July 2021.

Tier 2 general purpose financial reporting is now specified in AASB 1060 General Purpose Financial Statements – Simplified Disclosures for For-Profit and Not-for-Profit Tier 2 Entities, however there are a number of changes between RDR and the new simplified disclosure regime at a fundamental level.

  • AASB 1060 is a standalone standard which contains all the presentation and disclosure requirements under Tier 2, therefore entities will no longer be required to focus on shaded sentences in the AAS standards to identify their required disclosures.
  • Development of AASB 1060 used IFRS for SME as a base standard and therefore the number of disclosures is lower. RDR was developed using a top down approach to reduce the full IFRS disclosures.
  • Structured into sections, AASB 1060 contains all the relevant requirements for a particular topic.

Caseware Large Pty Ltd is a for-profit entity.

STOP PRESS! RDR vs SDS comparison “Not For Profit” version highlighting the changes that might arise in the NFP reporting requirements has been completed. Go to this link to get access to the NFP document.

Enter your details below to access Carmen Ridley’s SDS vs RDR comparison document for a large company entity:

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