Document ID: chunk:federal_register_of_legislation:F2024L00075:reg:38:p74
Version: federal_register_of_legislation:F2024L00075
Segment Type: reg
Provision Reference: reg 38 (pt 74/76)
Character Range: 243240–246178

future research (refer to paragraph BC2).

[1] Although, refer to paragraph AG36 in respect of the fair value disclosure requirements of AASB 7.
[2]  In late 2005, as a result of a process involving the issue of Invitation to Comment ITC 9 Superannuation Plans – Financial Liabilities, the AASB made two amendments to AAS 25 through AASB 2005-13 Amendments to Australian Accounting Standards.  One amendment was to require a hedging instrument or derivative to be recognised at net market value, whether it has a debit or credit balance, with any changes recognised in profit or loss for the period.  A second amendment confirmed that a superannuation plan holding a controlling interest in another entity would apply AASB 3 Business Combinations and AASB 127 Consolidated and Separate Financial Statements.  AAS 25 was also amended in 2013 to remove references to the materiality Standard through AASB 2013-9 Amendments to Australian Accounting Standards – Conceptual Framework, Materiality and Financial Instruments.
[3] This exception includes fair valuing acquired intangible assets each period, but would apply only when a superannuation entity is required to prepare consolidated financial statements in accordance with AASB 10, as amended by AASB 2013-5 Amendments to Australian Accounting Standards – Investment Entities.
[4] AASB 9 Financial Instruments had not yet been issued.
[5] Intergenerational inequities can arise when exiting members do not 'pay' a share of the transaction costs because the superannuation entity has the capacity to pay departing member benefits out of cash on hand or else out of ongoing contributions and income.  In such circumstances, members who remain in the entity may eventually incur transaction costs that would otherwise have been shared equally amongst all members if they had all exited the entity at the same time.  In addition, members with relatively large account balances may be charged transaction costs as a consequence of their superannuation plan selling some of its assets whereas other members with relatively smaller balances may not be charged transaction costs if their entitlements are paid out of funds from other sources.
[6] For example, under AASB 137, changes in provisions are recognised as gains or losses in profit or loss in the period they occur.
[7] In relation to approved deposit funds, tax is normally only levied on earnings because these entities are not permitted to receive concessional contributions.
[8] The surcharge was introduced in the Superannuation (Sustaining the Superannuation Contribution Concession) Imposition Act 2013.
[9] AASB 2008-2 Amendments to Australian Accounting Standards – Puttable Financial Instruments and Obligations arising on Liquidation amended AASB 132 in February 2008.
[10] Issued in May 2007.
[11] Issued in June 2005.
[12] Issued in June 2013.
[13] When a benefit formula prescribes that members accrue materially higher