Document ID: chunk:federal_register_of_legislation:F2025C00209:reg:221:p37
Version: federal_register_of_legislation:F2025C00209
Segment Type: reg
Provision Reference: reg 221 (pt 37/73)
Character Range: 264934–267946

balances under their current accounting policy (eg where the entity prepared SPFS without complying with the R&M of full AAS). None of the respondents to ED 295 identified any entities that intend to apply AASB 14 on transition to GPFS. The Board's decision also is consistent with IASB's view that it should not incorporate the requirements of IFRS 14 as part of the current comprehensive review of the IFRS for SMEs Standard[59];

           2.                    AASB 4 Insurance Contracts, AASB 17 Insurance Contracts, AASB 1023 General Insurance Contracts, AASB 1038 Life Insurance Contarcts and AASB 1056 Superannuation Entities are not addressed in this Standard as the majority of the entities applying these Standards would have public accountability by holding assets in a fiduciary capacity.

          The Board acknowledged that AASB 4 and AASB 17 would also be applicable to entities such as 'captive insurers' which may not be publicly accountable and hence would be eligible to apply this Standard. These entities will have to provide the full disclosures of AASB 4 or AASB 17, as the disclosures in these standards have not been replaced by AASB 1060. However, the Board was of the view that 'captive insurers' deal only with insurance contracts within their own group and as a result are likely to have relatively simple insurance arrangements. They would therefore not be unduly impacted by the full disclosure requirements under these Standards.

          In relation to AASB 1056, the Board concluded that superannuation entities are currently divided between Tier 1 entities and non-reporting entities (including Small Australian Prudential Regulation Authority (APRA) Funds (SAFs) and Self-Managed Superannuation Funds (SMSFs)). Accordingly, Tier 2 disclosures were not developed for these entities. The Board further noted that there is currently no legislative requirements for superannuation entities to prepare financial statements in accordance with AAS. Until such time as the legislation is changed, superannaution entities could therefore continue preparing SPFS and thus AASB 1056 has been excluded from this Standard.

           1.                     AASB 8 Operating Segments and AASB 133 Earnings per Share require disclosure of segment information and of earnings per share data only for entities which have debt or equity instruments that are traded, or are in the process of being issued for trading in a public market. These entities would have public accountability and, accordingly, the Board decided that these Standards are not applicable for Tier 2 entities. Instead, consistent with the IFRS for SMEs Standard, paragraph 33 refers back to these Standards and provides that an entity disclosing segment information or earnings per share must comply with AASB 8 or AASB 133 respectively in full.

           2.                    AASB 134 Interim Financial Reporting is applicable for the specific purpose of preparing interim financial reports and AASB 1039 Concise