AASB 1060 Simplified Disclosure Standard information

The standards

The AASB 1060 standards can be accessed here.

AASB 1060 - General Purpose Financial Statements – Simplified Disclosures for For-Profit and Not-for-Profit Tier 2 Entities
AASB 2021-1 - Amendments to Australian Accounting Standards – Transition to Tier 2: Simplified Disclosures for Not-for-Profit Entities

Information from Australian Accounting Standards Board (AASB)

The AASB has held a view webinar to discuss the implementation of the AASB 1060 Simplified disclosure standards. The recording of these webinars can be found here:

Removal of Special Purpose Financial Statements & The Introduction of Simplified Disclosures Part 1 (AASB Webinar - 27 04 2021)
Removal of Special Purpose Financial Statements & The Introduction of Simplified Disclosures Part 2 (AASB Webinar - 10 05 2021)
Removal of Special Purpose Financial Statements & The Introduction of Simplified Disclosures Part 3 (AASB Webinar - 10 05 2021)

The AASB news related to SDS

AASB 2021-1 Transition to Tier 2: Simplified Disclosures for Not-for-Profit Entities (AASB - AASB 2021-1 news)
Key facts: AASB 1060 General Purpose Financial Statements – Simplified Disclosures for For-Profit and Not-for-Profit Entities (Comparison between SDS and RDR disclosure)

Information from the Auditing and Assurance Standards Board (AUASB)

Here is some information from the AUASB for SDS.

Audit considerations on the removal of special purpose financial statements for certain for-profit private sector entities (PDF document)

CaseWare Australia and New Zealand webinar and information

FinancialsIFRS Template

The following videos will help you understand how to transition your FinancialsIFRS engagement file to SDS standard

Cloud Financials Template

Cloud financials will implement the SDS for both for-profit and not-for-profit entities.

Cloud financials launch webinar

Transition to SDS on or after 30 June 2022

The SDS standard is effective for 30 June 2022 year-end financial statements. If you choose to adopt SDS for the 30 June 2022 year-end, there will be a need for you to restate your prior year balance. The options are as follows:

If you are transitioning from RDR, there is no need to restate the prior year balance.
If you are transitioning from a special purpose that complied with all recognition and measurements requirements including consolidation (if relevant), there is no need to restate the prior year balance.
If you are transitioning from a special purse that does not comply with all recognition and measurements requirements including consolidation (if relevant), then you need to restate the prior year balance.

If you need to restate the prior year balance, you can choose from the following 2 standards:

Apply AASB 108 - same treatment as any other change in accounting policy - a third balance sheet and notes is required (not recommended)
Apply AASB 1 - only need to do the balance sheet & equity reconciliation (recommended)

For more information to help you with your decision, please follow our transition to the SDS flowchart here