From our Financials standards content expert, Carmen Ridley – on the Special Purpose financial reporting changes related to Not-For-Profit entities.
In a word – ‘No’. The AASB project reducing the ability of certain entities to prepare special purpose financial statements is relevant to for-profit entities only. (For more information, refer to AASB 2020-2 Amendments to Australian Accounting Standards –Removal of Special Purpose Financial Statements for Certain For-Profit Private Sector Entities).
AASB NFP Framework
The NFP reporting framework is a work in progress for the AASB.
Don’t forget that Not For Profit’s preparing special purpose financial statements from 30 June 2020 are required to include:
- specific disclosures regarding compliance with recognition, and
- measurement requirements in the standards and consolidation / equity accounting of investments.
For more information or further clarification, contact Carmen via firstname.lastname@example.org.