Grant Saxon, Sydney Managing Partner at BDO, said the upcoming changes in IFRS are significant and will impact many clients.
“Our existing clients are beginning to consider how to prepare their financial statements using the new accounting standards and are reaching out for assistance,” Mr Saxon said.
“Kevin is coming on-board at the perfect time, providing IFRS technical leadership, risk management, compliance and quality control solutions.
“He will be based in Sydney but will work alongside BDO’s National Leader Aletta Boshoff with support from colleagues in Melbourne, Brisbane and Perth.”
Aletta Boshoff, National Leader for IFRS Advisory at BDO Australia said the ‘Triple Threat’ New Accounting Standards are poised to create the biggest upheaval since Australia adopted the standards in 2005,” she said.
“The introduction of the three new Australian accounting standards significantly changes the financial reporting landscape for how entities recognise revenue, account for financial instruments and how lessees account for operating leases.
“These changes come into effect between now and 2019 and raise a whole host of issues for organisations in every industry sector – from corporate to not-for-profit.
“Over the next two years, there are three major new international financial reporting standards (IFRS) that Australian companies should be aware of. IFRS 9 for financial instruments, IFRS 15 for the recognition of revenue which will be effective from 1 January 2018 and IFRS 16 which covers lease accounting effective from 1 January 2019 (although available for early adoption). They are complex standards and have the potential to transform the way that companies present their performance and financial position across every industry sector.”
“The changes have impacts beyond accounting as the choices made by organisations will affect the way the performance of their business is measured and reported. It’s vital to consider not only the commercial and practical issues but also any tax impacts of these changes.”
BDO’s IFRS team now consists of three Partners and ten staff who are all dedicated solely to IFRS. The team is spread across Australia (Perth, Brisbane, Melbourne & Sydney, but also services clients in Adelaide, Hobart, Darwin and Cairns).
Kevin Frohbus was most recently the leader for IFRS Advisory and Audit Quality function for Crowe Horwath in Australia and New Zealand.