Each month, this section highlights the latest developments in:
Previous month's developments can be accessed through the archive.
Financial reporting
Structure of financial statements will change
The Australian Accounting Standards Board's (AASB) issue of the revised AASB 101 Presentation of financial statements (September 2007) and the omnibus standard AASB 2007 8 Amendments to Australian accounting standards arising from AASB 101 will further adopt comprehensive income' in the presentation of financial statements.
Consequently, there will be further changes which will apply for annual reporting periods beginning on or after 1 January 2009, with early adoption permitted.
Consolidation of subsidiaries by superannuation entities
Superannuation entities may eventually be required to consolidate their subsidiaries based on a fair value model. The AASB has released a consultation paper on its website in relation to this topic.
CPA Australia is seeking member feedback on the consultation paper by Thursday 15 November.
Real estate sales and hedges of a net investment in a foreign operation
In two recent submissions to the International Financial Reporting Interpretations Committee, CPA Australia has supported the move towards greater certainty for entities undertaking real estate sales and those with investments in foreign operations.
Upcoming AASB 2007 meeting dates
The last two AASB meetings for 2007 will be held in Melbourne on 14 15 November and 12 13 December.
Members of the public can attend as observers, but must notify the AASB in advance.
Key decisions at the recent AASB meeting October 2007
The AASB held its joint meeting with its New Zealand counterpart, the Financial Reporting Standards Board (FRSB), on Wednesday 3 and Thursday 4 October.
Matters considered included compliance with International Financial Reporting Standards (IFRS), policy on modification of IFRS for not-for-profit entities, differential reporting/small to medium-sized enterprises, insurance contracts, and the International Accounting Standards Board/FRSB conceptual framework.
Newly appointed chairman of the FRC
Mr Jeffrey Lucy has been appointed as the part-time chairman of the Financial Reporting Council (FRC) for a three year term commencing from 11 December 2007. Mr Lucy will resign from his present role as commissioner of the Australian Securities & Investments Commission on 10 December 2007.
The FRC is responsible for providing broad oversight of the process for setting accounting and auditing standards as well as monitoring the effectiveness of auditor independence requirements in Australia and giving the minister reports and advice on these matters.
Appointment of commissioner to ASIC
Ms Belinda Gibson has been appointed as commissioner of the Australian Securities & Investments Commission (ASIC) for a three year term commencing on 5 November 2007. Ms Gibson will replace Mr Jeffrey Lucy following Mr Lucy's resignation from ASIC on 10 December 2007.
Ms Gibson is a partner at Mallesons Stephen Jaques. She specialises in transactional advice and in corporate and securities law. She has extensive knowledge of corporate governance and accounting practice in Australia.
IASB's first annual improvements project
The International Accounting Standards Board (IASB) has introduced an annual process to deal with non-urgent, but necessary, minor amendments to IFRS. It will be know as the annual improvements project.
CPA Australia is inviting member comment on the IASB's first annual improvements project. Comments must be received by Friday 23 November.
Extended deadline for submission on IFRS for SMEs
The IASB has extended the comment period for the exposure draft Proposed IFRS for small and medium-sized entities until 30 November 2007.
Members wishing to comment should make a submission directly to the IASB.
Financial reporting policy statements
CPA Australia has released its policy positions on a range of financial reporting issues including: emissions trading; not-for-profit definition; public sector / not-for-profit financial reporting; and reporting for public private partnerships.
To provide members and other stakeholders with access to the full range of CPA Australia's policy positions, we have released our current series of policy statements.
The statements were developed with the input of the general membership base as well as specialised policy centres of excellence.
Forthcoming FRC meeting
The next FRC meeting will be held in Sydney on Thursday 6 December.
New appointment to the IASC Foundation
The International Accounting Standards Committee (IASC) Foundation announced on Thursday 18 October that Mr Gerrit Zalm, former deputy prime minister and finance minister of the Netherlands, has accepted the trustees' invitation to become the next chairman of the trustees.
Mr Zalm's three-year term will begin on 1 January 2008.
The trustees provide an oversight function to the IASB.
Ethics and professional standards
Forthcoming APESB meeting rescheduled
The next Accounting Professional & Ethical Standards Board (APESB) will be held on 20 November. The meeting was originally scheduled for 13 November. It will be the board's final meeting for the year. The agenda will be available in due course on its website. Members are able to attend the meeting but are requested to register on the APESB website prior to 20 November.
Standard for accountants providing taxation services
The APESB has issued a revised standard for accountants who offer taxation services. APES 220 Taxation services replaces former professional accounting standard APS 6 Statement of taxation standards.
Audit and assurance
Outcomes of October AUASB meeting
The Auditing and Assurance Standards Board (AUASB) held its twenty-seventh meeting on Monday 22 October and Tuesday 23 October.
Outcomes from the meeting included: the clarity project; guidance statements; SMSF audits; performance engagements; compliance engagements; and pronouncements frameworks.
IAASB upcoming board meeting and meeting highlights
The International Auditing and Assurance Standards Board (IAASB) will meet on 10 14 December 2007 in Washington D.C., United States. Venue information is available from the IAASB website.
Meeting highlights from the previous meeting held in Spain on 24 28 September 2007 are now available.
The board's meeting papers can be downloaded from the IAASB website.
Comment on proposed changes to international audit standards
CPA Australia is seeking member feedback on five exposure drafts on the overall objective of the audit and auditors and audit evidence, issued by the International Auditing and Assurance Standards Board (IAASB).
The Auditing and Assurance Standards Board has a directive from the Financial Reporting Council to use ISAs as a base from which to develop Australian Auditing Standards,' says Jessie Wong, CPA Australia's policy advisor, audit and assurance.
It is important for the profession to engage with the IAASB throughout the development of these new clarity standards,' she added.
AUASB announces its plans regarding clarity auditing standards
The AUASB has recently announced that the suit of legally enforceable Australian auditing standards (ASAs) issued in May 2006 will be further revised and reissued based on the new clarity format versions of the ISAs.
The AUASB has further announced that the revised ASAs will be operative for audits of financial reports for periods beginning on or after 1 January 2010.
Corporate governance
Policy statement: directors' duties and sanctions
CPA Australia has released its policy position on directors' duties and sanctions in corporate law
To provide members and other stakeholders with access to the full range of CPA Australia's policy positions, we have released our current series of policy statements. The statements were developed with the input of the general membership base as well as specialised policy centres of excellence.
To view the full range of policy positions visit the Member Services section of the website.
Corporate social responsibility
Policy statement: CSR and corporate disclosure
CPA Australia has released its policy position on corporate social responsibility and corporate disclosure.
To provide members and other stakeholders with access to the full range of CPA Australia's policy positions, we have released our current series of policy statements. The statements were developed with the input of the general membership base as well as specialised policy centres of excellence.
To view the full range of policy positions visit the Member Services section of the website.
Archive
Past pages of Latest developments' can be accessed on the website:
