Our latest insights

The purpose of this Alert is to draw attention to the Australian Securities and Investments Commission’s (ASIC) Media Release 23-149MR ASIC highlights focus areas for 30 June 2023 reporting.

With growing business appetite for innovative financial technology and on-demand finance in recent years, Fintechs have been embraced by businesses and consumers alike. Fintechs now have the opportunity to drive change, expand into other industries – and sometimes even scale up and expand into new markets. As we near business planning season and end of financial year, have you considered how R&D Incentives, tax considerations and a governance structure can support your sustainable growth?

Authorised deposit-taking institutions (ADIs) and the broader banking sector have recently faced significant headwinds, as the sector navigates unprecedented change. How can you best navigate current challenges and leverage opportunities to find efficiencies as you step into the new financial year? Here, we outline eight key considerations you should address to ensure your business is set up for FY24.

This TA Alert incorporates all the relevant pronouncements and developments as at 8 May 2023.

As we approach the end of FY23 what are the key areas preparers of financial statements need to consider? Preparers of financial statements will breathe a sigh of relief to know there are no major changes to accounting standards applicable for FY23, however there are some amendments to existing standards to think about ahead of year end, as well as some on the horizon where early adoption may be worth considering.

AASB 2020-3 amends AASB 116 to prohibit entities from deducting from the cost of an item of Property, Plant and Equipment, any proceeds from selling items produced while bringing property, plant and equipment to the location and condition necessary for it to be capable of operating in a manner intended by management. Instead, these proceeds and related costs are required to be recognised in profit or loss.

The Queensland Government announced that the expansion of Project Trust and Retention Trust Accounts originally scheduled to take effect 1 April 2023 will be extended by three years to 2025. Eligible contracts valued between $3m and $10m will now need to comply from 1 March 2025, and contracts above $1m will need to comply from 1 October 2025.

Amendments to ASX Listing Rules and Guidance Note for entities in mining and oil and gas industries

From 1 April 2023, private sector, government-owned corporations and local government contracts valued at $3m or more (excl. GST) become subject to the Project Trust Account (PTA) regime. The threshold further drops for these valued to $1m from 1 October 2023. Organisations impacted by the requirement to operate PTAs on each project they undertake need to prepare for the additional regulatory compliance required, as well as the cashflow implications of restricted access to progress claim receipts and subcontractor retention monies after the relevant commencement date.

Conversations with aged care providers at the close of 2022 identified four key themes that will take a front seat in Australia’s aged care sector in 2023 – the fundamentals of the sector (funding, regulation, governance), labour shortage and recruitment strategies, technology, and housing and aged care communities

The AASB has clarified presentation as current or non-current of loan arrangements subject to covenants by amending AASB 101 Presentation of Financial Statements) through the issuance of AASB 2022-6 Amendments to Australian Accounting Standards – Non-current Liabilities with Covenants.

Tariffs on emissions-intensive imports are expected to be introduced to adhere to the Government’s proposed emission targets. Climate Change and Energy Minister Chris Bowen put forward a proposal to enforce pollution caps on the country’s 215 biggest emitters, with the view to reduce their greenhouse output by 5 per cent a year until 2030. There’s no doubt that these emission targets are aggressive – but with penalties in place if organisations don’t comply, we expect to see a positive impact on the adoption of sustainable practices across businesses, manufacturing processes and along the supply chain.