Document ID: chunk:federal_register_of_legislation:F2023C01140:reg:39:p20
Version: federal_register_of_legislation:F2023C01140
Segment Type: reg
Provision Reference: reg 39 (pt 20/53)
Character Range: 65957–69054

accordance with a fair presentation framework, the auditor's opinion states that the financial report presents fairly, in all material respects, or gives a true and fair view of, the matters that the financial report are designed to present.  For example, in the case of a financial report prepared in accordance with IFRSs, these matters are the financial position of the entity as at the end of the period and the entity's financial performance and cash flows for the period then ended.  Consequently, the […] in paragraph 25 and elsewhere in this Auditing Standard is intended to be replaced by the words in italics in the preceding sentence when the applicable financial reporting framework is IFRSs or, in the case of other applicable financial reporting frameworks, be replaced with words that describe the matters that the financial report is designed to present.

Description of the applicable financial reporting framework and how it may affect the auditor's opinion

A28.         The identification of the applicable financial reporting framework in the auditor's opinion is intended to advise users of the auditor's report of the context in which the auditor's opinion is expressed; it is not intended to limit the evaluation required in paragraph 14.  The applicable financial reporting framework is identified in such terms as:

     "… in accordance with Australian Accounting Standards" or

     "… in accordance with accounting principles generally accepted in Jurisdiction X …"

A29.         When the applicable financial reporting framework encompasses financial reporting standards and legal or regulatory requirements, the framework is identified in such terms as "… in accordance with Australian Accounting Standards and the requirements of the Corporations Act 2001."  ASA 210 deals with circumstances where there are conflicts between the financial reporting standards and the legislative or regulatory requirements.[27]

A30.         As indicated in paragraph A13, the financial report may be prepared in accordance with two financial reporting frameworks, which are therefore both applicable financial reporting frameworks.  Accordingly, each framework is considered separately when forming the auditor's opinion on the financial report, and the auditor's opinion in accordance with paragraphs 25–27 refers to both frameworks as follows:

(a)                If the financial report complies with each of the frameworks individually, two opinions are expressed: that is, that the financial report is prepared in accordance with one of the applicable financial reporting frameworks (e.g., the Australian Accounting Standards) and an opinion that the financial report is prepared in accordance with the other applicable financial reporting framework.  These opinions may be expressed separately or in a single sentence (e.g., the financial report is presented fairly, in all material respects […], in accordance with Australian Accounting Standards and with the other applicable financial reporting framework).

(b)                If the financial report complies with one of