Question
How do the AASB 2020-2 Amendments to Australian Accounting Standards affect the NowInfinity legal templates (Deeds and Constitutions)?
Answer
Our external legal provider has reviewed the NowInfinity legal templates in relation to the effect of AASB 2020-2 Amendments to Australian Accounting Standards – Removal of Special Purpose Financial Statements for Certain For-Profit Private Sector Entities.
They have advised that the provisions of AASB 2020-2 do not require the amendment of the NowInfinity legal templates and are compliant in its current form.
Furthermore, they have commented that the current NowInfinity legal templates do not, by its terms include provisions that imply that clearly defined financial reporting requirements must be met.
For example, there are no references to the terms identified in the document entitled “Navigating the financial reporting requirements in for-profit private sector client documents”, such as “accounting standards, “generally accepted accounting principles”, “true and fair view” nor do they include references to AAS or AASB. References in the legal template to Relevant Law do not alter the above view.
Provided from 1 July 2021, the legal templates are not amended in a manner that would be inconsistent with the above, no changes are required.