Document ID: chunk:federal_register_of_legislation:F2025C00209:front:0:p47
Version: federal_register_of_legislation:F2025C00209
Segment Type: other
Provision Reference: 
Character Range: 141841–145314

is a transfer of resources, services or obligations between a reporting entity and a related party, regardless of whether a price is charged. Examples of related party transactions that are common to entities within the scope of this Standard include, but are not limited to:
           1.                    transactions between an entity and its principal owner(s);
           1.                    transactions between an entity and another entity when both entities are under the common control of a single entity or person; and
           2.                    transactions in which an entity or person that controls the reporting entity incurs expenses directly that otherwise would have been borne by the reporting entity.
          [IFRS for SMEs Standard paragraph 33.8]

      1.                  If an entity has related party transactions, it shall disclose the nature of the related party relationship as well as information about the transactions, outstanding balances and commitments necessary for an understanding of the potential effect of the relationship on the financial statements. Those disclosure requirements are in addition to the requirements in paragraph 194 to disclose key management personnel compensation. At a minimum, disclosures shall include:
           1.                    the amount of the transactions;
           2.                    the amount of outstanding balances and:
                1.                      their terms and conditions, including whether they are secured and the nature of the consideration to be provided in settlement; and
                2.                    details of any guarantees given or received;
           1.                    provisions for uncollectable receivables related to the amount of outstanding balances; and
           2.                    the expense recognised during the period in respect of bad or doubtful debts due from related parties.
     Such transactions could include purchases, sales or transfers of goods or services; leases; guarantees; and settlements by the entity on behalf of the related party or vice versa. [IFRS for SMEs Standard paragraph 33.9]

      1.                  An entity shall make the disclosures required by paragraph 198 separately for each of the following categories:
           1.                    entities with control, joint control or significant influence over the entity;
           2.                    entities over which the entity has control, joint control or significant influence;
           3.                    key management personnel of the entity or its parent (in the aggregate); and
           4.                    other related parties.
     [IFRS for SMEs Standard paragraph 33.10]

      1.                  An entity is exempt from the disclosure requirements of paragraph 198 in relation to:
           1.                    a state (a national, regional or local government) that has control, joint control or significant influence over the reporting entity; and
           2.                    another entity that is a related party because the same state has control, joint control or significant influence over both the reporting entity and the other entity.
     However, the entity must still disclose a parent-subsidiary relationship as required by paragraph 192. [IFRS for SMEs Standard paragraph 33.11]

      1.                  The following are examples of transactions that shall be disclosed if they