This article follows the release of an AASB conceptual framework on the removal of special purpose financial statements.
As discussed earlier this year, the AASB are undertaking a project which is likely to reduce the number of entities who can produce special purpose financial statements in conjunction with the release of the revised IASB Conceptual Framework in Australia.
The AASB have recently decided to break the project into three phases and once the Framework is released for the relevant entities, they will be unable to prepare special purpose financial statements. The AASB is currently working on the format and content for the general-purpose financial statements which are not IFRS compliant (i.e. those non-publicly accountable entities).
The three phases are as follows: