Document ID: chunk:federal_register_of_legislation:F2025C00209:reg:221:p25
Version: federal_register_of_legislation:F2025C00209
Segment Type: reg
Provision Reference: reg 221 (pt 25/73)
Character Range: 231709–234794

accountable entities are important for an understanding of those statements; and
           6.                     some disclosures in full IFRS Standards are more relevant to investment decisions in public capital markets than to the transactions and other events and conditions encountered by typical for-profit entities that are not publicly accountable entities.

      1.             In addition, to these principles the Board agreed to add disclosures where they address matters of public policy (eg audit fees and tax reconciliation – see paragraphs BC75 and BC79–BC80) or reflect Australian specific issues (eg imputation credits – see paragraphs BC83-BC84).

      2.             Consistent with the IASB's intentions in relation to the Subsidiaries that are SMEs project, tailoring of the IFRS for SMEs disclosure requirements has further been restricted to the absolute minimum. As identified in paragraph BC70, this resulted in the retention of termination benefit disclosures which are not required under full AAS. However, consistent with the principle in paragraph BC40, where the IASB has removed disclosures from full IFRS after the IFRS for SMEs Standard was finalised, these reductions were carried over to AASB 1060. This has affected in particular the leasing disclosures, see paragraphs BC66–BC67 and resulted in the removal of a number of employee benefits disclosures.

      3.             To identify R&M differences, the Board has referred to:

           1.                     the AASB staff paper Comparison of Standards for Smaller Entities prepared and published in April 2018;
           2.                    full IFRS vs IFRS for SMEs Standard comparisons included in the IFRS for SMEs Standard modules published by the IASB; and
           3.                     individual analyses of Standards, where a topic is covered by neither of these two sources.

      1.             Judgement was exercised when applying the framework and the overarching principles of user needs and cost-benefit were considered when determining the disclosures that are relevant for Tier 2 entities. Significant judgements made in this process are explained in paragraphs BC54−BC93.

      2.             The disclosures that are relevant to Tier 2 entities are set out in this Standard (ie are not shaded in the body or the appendix of each AAS). They are considered by the Board to be appropriate for GPFSs that are publicly lodged or are required to comply with AAS, but do not relate to entities that are publicly accountable.

      3.             As a general rule, the presentation requirements of full AAS have been retained, and the Board noted that it did not intend to make any changes to the presentation requirements or accounting treatments available under AAS.

      4.             This applies in particular to the presentation requirements in AASB 101 and AASB 107 even though these Standards have been replaced in their entirety with AASB 1060 paragraphs 8 to 97. The only exception made relates to the option of not presenting a separate statement of