For our clients, distinguishing the income by Department will be a new level of detail in many cases. Staying on top of Department name changes in the Audited Financial Statements will keep us on our toes into infinity 😊.
The guidance also includes changes around special and general purpose reporting. From 1 July 2021, there will be a single standard that includes all disclosure requirements under AASB 1060 General Purpose Financial Statements – Simplified Disclosures for For-Profit and Not-for-Profit Tier 2 Entities (GPFS-SDR). This standard will replace the current General Purpose Reduced Disclosures Regime (GPFS-RDR), and a charity that prepares GPFS-RDR will be required to transition to the new GPFS-SDR.
We are encouraged at this stage that there may be more discretion in the Audited Financial Statements, to include what is relevant and cut immaterial disclosures.
The new standard is compulsory from the 30/06/2022 audit, but there may be advantages to adopting earlier (in your next audit). If this affects your organisation, Purpose will facilitate this discussion and include your auditor.
More details are available on the ACNC website. As always, we will help our clients to understand and implement the changes where necessary.