Comments sought on exposure drafts

At BDO, we provide comments locally to the Australian Accounting Standards Board (AASB) and internationally to the International Accounting Standards Board (IASB). We welcome any client comments on exposure drafts that are currently available for comment. If you would like to provide any comments please contact Wayne Basford at [email protected].



Comments due to AASB by

Comments due to IASB by

ED 270 Reporting Service Performance Information

Proposes to establish principles and requirements for entities to report service performance information that is useful for accountability and decision making.

29 April 2016


ED 271 IFRS Practice Statement: Application of Materiality to Financial Statements

Proposes to provide guidance to assist management when applying the concept of materiality to general purpose financial statements. Guidance is proposed in following three main areas:

  • Characteristics of materiality
  • How to apply the concept of materiality when making decisions about presenting and disclosing information in the financial statements, and
  • How to assess whether omissions and misstatements of information are material to the financial statements.

As materiality is a matter of judgement that depends on the facts involved and the circumstances of a specific entity, the proposals aims to illustrate the types of factors that management should think about when considering whether information is material. The proposals do not aim to provide a complete list of things to consider when making judgements about materiality when preparing the financial statements.

25 January 2016

26 February 2016

ED 272 Transfers of Investment Property
Proposed amendments to AASB 140

Proposes to amend AASB 140, paragraph 57 to clarify that:

  • Property can only be transferred to and from investment property when, and only when, there is a change in use of the property supported by evidence that a change has occurred, and
  • The examples in paragraph 57(a) to (d) comprise a list of examples of evidence that a change in use has occurred, and not an exhaustive list.

This means that property under construction classified as inventory could be transferred to investment property when there is evidence of change in use.

15 February 2016

18 March 2016

ED 273 Annual Improvements to IFRSs 2014-2016 Cycle

Proposes the following changes to accounting standards:

  • AASB 1 First-time Adoption of Australian Accounting Standards – deletes old short-term exemptions that are no longer applicable
  • AASB 12 Disclosure of Interests in Other Entities – clarifies that all AASB 12 disclosures (except B10-B16) apply to investments in subsidiaries, associates and joint ventures classified as held for sale,  held for distribution to owners in their capacity as owners, or discontinued operations, in accordance with AASB 5 Non-current Assets held for Sale and Discontinued Operations
  • AASB 128 Investments in Associates and Joint Ventures – clarifies that the election by venture capital organisations to measure investments in associates and joint ventures at fair value through profit or loss is made, on initial recognition, on an investment-by-investment basis.


22 January 2016

17 February 2016