Comments sought on exposure drafts

At BDO, we provide comments locally to the Australian Accounting Standards Board (AASB) and internationally to the International Accounting Standards Board (IASB). We welcome any client comments on exposure drafts that are currently available.

If you would like to provide any comments, please contact Aletta Boshoff, Partner and National Leader, IFRS & Corporate Reporting and National Leader, ESG & Sustainability.

Document	Proposals	Comments due to AASB by	Comments due to IASB by
ED 334 Limiting the Ability of Not-for-Profit Entities to Prepare Special Purpose Financial Statements	Proposes that both private and public sector not-for-profit entities will have to prepare general purpose financial statements if they: Are required by legislation to comply with either Australian Accounting Standards or ‘accounting standards’ Are required only by their constituting document or another document to prepare financial statements that comply with Australian Accounting Standards (but only if the relevant document was created or amended on or after a date to be specified in a final standard), or Elect to prepare GPFS. Refer to our article for more information.	28 February 2025	N/A
ED 335 General Purpose Financial Statements – Not-for-Profit Private Sector Tier 3 Entities	Proposes a Tier 3 financial reporting framework for not-for-profit (NFP) private sector entities. Tier 3 contains simplified recognition, measurement, presentation and disclosures for private sector NFPs which can only be applied if the entity: Does not have public accountability, and Is a Tier 3 entity according to relevant legislation or constituting documents (trust deeds) and other documents. Tier 3 entities can still opt to apply Tier 1 or Tier 2 Simplified Disclosures) if they so wish. Refer to our article for more information.	28 February 2025	N/A
ED 336 Provisions – Targeted Improvements	Proposes targeted improvements to AASB 137 Provisions, Contingent Liabilities and Contingent Assets, including: Clarifying the requirements when assessing whether the entity has a present obligation as a result of a past event Changing the timing of recognition of some provisions, such as levies, which are only payable if there are two separate actions, or if a measure of activity in the reporting period exceeds a specific threshold. Some of these provisions would be accrued earlier and progressively over time instead of at a later point in time When measuring a provision at the best estimate of the expenditure required to settle the obligation, the expenditure comprises the costs that relate directly to the obligation. This includes both the incremental costs of settling that obligation and an allocation of other costs that relate directly to settling the obligation of that type Requiring discounting of provisions using a risk-free rate.	31 January 2025	12 March 2025