This site uses cookies to provide you with a more responsive and personalised service. By using this site you agree to our use of cookies. Please read our cookie notice for more information on the cookies we use and how to delete or block them.

Bookmark Email Print page

Accounting alert 2009/01 - February 2009 AASB meeting

Exposure documents approved or close to finalisation

The first AASB meeting for 2009 was a one-day affair focussing on a number of exposure drafts and similar proposals.

New EDs were approved on post-implementation amendments to Interpretations 9 and 11 and borrowing costs by not-for-profit public sector entities and a Proposed Interpretation on Australian superannuation contributions tax for defined benefit plans was also approved.

In addition, the AASB is close to finalising its proposals in forthcoming EDs on superannuation plans/approved deposit funds and non-exchange transactions.

Continuing with our practice for recent meetings, a summary table of the matters discussed at the meeting is immediately below.

Topic Overview Comments and more information
SECTOR-NEUTRAL MATTERS
Amendments to Interpretations

The AASB approved the issue of ED 175 Post-Implementation Amendments to AASB Interpretations, which includes the IASB proposals in IASB ED/2009/1 Post-implementation Revisions to IFRIC Interpretations (Proposed amendments to IFRIC 9 and IFRIC 16).

Comments on ED 175 are due to the AASB by 25 February 2009. Comments on IASB ED/2009/1 close on 2 March 2009.

The proposed amendments are considered relatively minor, and so the exposure period is very short.

IAS Plus Newsletter (PDF 131kb)

ED 175  Post-implementation Revisions to AASB Interpretations (PDF 185kb)

Australian superannuation contributions tax

The AASB agreed to issue Proposed Interpretation Australian Superannuation Contributions Tax.

Comments close on 31 March 2009.

The Proposed Interpretation proposes that an employer sponsor of a defined benefit superannuation plan should include the impact of Australian taxes on future superannuation contributions when measuring a defined benefit obligation.

Agenda paper 4.4.1 Draft Proposed Interpretation 10XX Australian Superannuation Contributions Tax for Defined Benefit Plans (PDF 140kb)

Consolidated financial statements

The AASB received a presentation on the principle requirements of ED 171 Consolidated Financial Statements, which proposes to establish a single basis for consolidated using the control model.

Comments on ED 171 are due to the AASB by 22 February 2009. Comments on IASB ED 10 close on 20 March 2009.

IAS Plus Update Newsletter (PDF 124kb)

Agenda paper 7.2 Exposure Draft ED 171 Consolidated Financial Statements (PDF 841kb)

Emissions trading The AASB noted that the Australian Government's White Paper on the Carbon Pollution Reduction Scheme indicates that the IASB should determine the accounting requirements for emissions-related assets and liabilities in Australia.

It is unclear whether the comments in the White Paper represent a change in view from the government, which had previously indicated a preference for the AASB to develop an Accounting Standard in the absence of the IASB acting.

If the IASB does not deliver the AASB may be required to effectively resurrect IFRIC 3 Emission Rights, which was withdrawn by the IASB soon after issue on the back of constituent concerns.

NOT-FOR-PROFIT MATTERS
Borrowing costs

The AASB approved ED 176 Amendments to Australian Accounting Standards - Borrowing Costs of Not-for-Profit Public Sector Entities, which proposes to permit not-for-profit public sector entities to choose whether to expense or capitalise borrowing costs on qualifying assets.

Comments on the ED close on 31 March 2009.

It is understood the AASB agreed to propose to defer the mandatory capitalisation approach until it had considered the NZ FRSB review of the impact on determining written down replacement cost of PP&E, its review of criteria for departure from IFRS by not-for-profit entities and the IPSASB deliberations in this area.
Superannuation plans and approved deposit funds The AASB continued its deliberations on the draft exposure draft. A further draft of the ED will be considered at the April 2009 meeting.

It is understood that the AASB is intending to issue the ED for public comment after the April 2009 meeting and is hoping to finalise the Standard by the end of 2009.

Agenda paper 3.3 Draft Exposure Draft ED 16X Superannuation Plans and Approved Deposit Funds (PDF 824kb)

Income from non-exchange transactions The AASB continued its consideration of a draft ED based on IPSAS 23 Revenue from Non-Exchange Transactions (Taxes and Transfers), focussing on how the IPSAS 23 requirements would be applied to property taxes which may include both exchange and non-exchange components. The AASB has chosen not to provide guidance in this area in the draft ED but will instead ask for constituent comment.
ADMINISTRATIVE AND OTHER MATTERS
Board membership Victor Clarke and Ian McPhee joined the meeting as their first meeting as members of the Board. Colin Parker retires from the Board on 14 February 2009. -


More information on the above topics can be obtained from the AASB Action Alert (PDF 53kb) for the meeting.

The next meeting of the AASB is scheduled for 4-5 March 2009 in Melbourne.

Top  

Page Last Updated

Share

 
Follow us



 

Talk to us