18-20 Guidance to councils on transitioning to the new Australian Accounting Standards
Date: Thursday 2nd August 2018
Category: Council Circular
|Circular Details||Circular No 18-20 / 02 August 2018 / A600437|
|Who should read this||General Managers / Financial accounting business areas|
|Contact||Laura Love / (02) 4428 4178 / firstname.lastname@example.org|
|Action required||Information / Council to Implement|
|PDF Version of Circular||18-20 Guidance to councils on transitioning to the new Australian Accounting Standards|
What’s new or changing
- The Australian Accounting Standards Board (AASB) is making a number of options available to entities on transition to the new standards:
- AASB 9 Financial Instruments
- AASB 15 Revenue from Contracts with Customers
- AASB 16 Leases
- AASB 1058 Income of Not-for-Profit Entities
What this will mean for your council
- The Office of Local Government has prepared a Guidance Paper, which provides councils with specific direction on adopting the new standards.
- Further guidance material and information on the new standards will be provided in 2018-19.
- In order to achieve consistency and comparability OLG has elected a position on AASB options, which all councils must adopt on transition to the new standards.
- The new standards must be adopted on their respective mandatory effective dates, i.e. councils are not permitted to early adopt any of the standards.
- Councils should refer to the Guidance Paper when preparing their transition arrangements.
Where to go for further information
- The Guidance Paper and further information regarding the new Standards can be found at: http://www.olg.nsw.gov.au/strengthening-local-government/supporting-and-advising-councils/accounting-practice