The Australian Accounting Standards Board (AASB), have announced new standards which change the way certain for-profit entities must conduct their reporting. The changes mean that for these affected entities, the previous minimum reporting requirements, being Special Purpose Financial Statements (SPFS), are replaced with General Purpose Financial Statements (GPFS) resulting in significantly more work in order to meet reporting requirements.
Following this, the Queensland Building and Construction Commission (QBCC) have confirmed the flow on effect of this change, and what entities will be affected within the construction industry.
Due to these changes, it is now more important than ever to ensure your entity’s accountant is properly qualified, and has the relevant skills and experience in order to produce GPFS’s and all of the corresponding requirements. Meeting the QBCC’s minimum financial requirements is an ongoing condition of your QBCC licence.
This change from the AASB affects the following entities, being:
For-profit private sector entities that are required by legislation to prepare financial statements that comply with either Australian Accounting Standards or accounting standards;
Other for-profit private sector entities that are required only by their constituting document or another document to prepare financial statements that comply with Australian Accounting Standards, provided that the relevant document was created or amended on or after 1 July 2021; and
Other for-profit entities (private sector or public sector) that elect to prepare general purpose financial statements.
Should you require assistance with these QBCC requirements, Construct Law Group works with your accountant to ensure that the material supplied complies with QBCC requirements and addresses the relevant material in order to comply with minimum financial requirements
Our team here at Construct Law Group can assist. Call us on (07) 3139 1874 or email us at info@constructlaw.com.au.
This article is provided for general information and educational purposes only and does not constitute legal advice. Readers should obtain appropriate independent legal advice based on their own specific circumstances.
