Eye on Reporting | Issue 1/2023
Welcome to EY Eye on Reporting Newsletter, providing you with the latest insights in financial reporting.
This issue includes useful information on the following:
- EY has published Quality Holdings (New Zealand) Limited (December 2022), the for-profit model financial statements, which illustrate disclosure requirements in accordance with NZ IFRS and NZ IFRS Reduced Disclosure Regime.
- EY will host a “Hot Topics in Reporting” webcast in May. This session is designed to keep you updated on key developments in financial reporting. If you would like to attend, please sign up here.
- The XRB has issued the final Aotearoa New Zealand Climate Standards detailing its climate-related disclosure framework. EY has produced a short publication – New Zealand climate-related disclosure framework, outlining the key requirements for climate reporting entities
- The FMA has issued Guidance and Expectations for Keeping Proper Accounting Records to help FMC reporting entities meet their statutory requirement to keep documentation that supports its accounting considerations, decision making and conclusions
Featured
Changes in sale and leaseback accounting
The NZ IFRS 16 requirements for sale and leaseback transactions have been amended to require the inclusions of all variable lease payments when measuring the lease liability in a leaseback. This is to ensure that gains and losses related to the retained right of use assets are not recognised. This publication provides an overview of the amendments.
Illustrative Financial Statements for year ended 31 December 2022 – Quality Holdings (New Zealand) Limited
EY has published Quality Holdings (New Zealand) Limited (December 2022), the for-profit model financial statements, which illustrate disclosure requirements in accordance with NZ IFRS and NZ IFRS Reduced Disclosure Regime. This update includes guidance and disclosures on climate risks, the economic and geopolitical environment impacting entities as well as updates from amended standards.
FMA Insights
The FMA has issued Guidance and Expectations for Keeping Proper Accounting Records to help FMC reporting entities meet their statutory requirement to keep documentation that supports its accounting considerations, decision making and conclusions
New guidance for developing disclosure requirements
This publication summarises guidance the IASB has published following completion of its Targeted Standards-level Review of Disclosures project.
Proposed amendments to IFRS 9 and IFRS 7
The IASB has now completed its discussions on the topics put forward for the IFRS 9 Post Implementation Review, Classification and Measurement. The IASB has published a single exposure draft combining all of the proposed amendments to IFRS 9 and IFRS 7 arising from the post implementation review.
Hot Topics in Reporting
EY will host a “Hot Topics in Reporting” webcast in May. This session is designed to keep you updated on key developments in financial reporting. If you would like to attend, please sign up here. We will look to cover the impact of climate change on financial statements and other recent updates.
New Accounting Standards and Interpretations – for profit and public benefit entities
This for-profit publication provides an overview of the upcoming changes in standards and interpretations (pronouncements) to be applied for 31 March 2023 year ends and those mandatory in future periods. It also summarises the latest IFRIC agenda decisions which should be considered for 31 March 2023 year ends.
The Public Benefit Entity equivalent publication can be found here.
