Register / AASB 18 Presentation and Disclosure in Financial Statements / AASB 18 paragraph AusB5.1
Name the not-for-profit users in the application guidance
Where the standard names investors, lenders and other creditors, a not-for-profit entity reads that as its wider user group: funders and resource providers, people who receive its goods or services, and bodies that review or oversee it.
Why the paragraph exists
The application guidance is where an auditor tests whether the user group was stated correctly in the preparation file.
In practice
The application guidance is where the auditor tests the user group. Write the group into the preparation file in the entity's own terms, not as a copy of the standard's list.
For a charity, the recipients of goods and services are users in a way a for-profit customer is not. Say which programmes and which recipient groups were considered.
The mistake to avoid
The common mistake is to name only the funders and omit the service recipients and oversight bodies.
Who it binds
A not-for-profit reporting entity.
What to do before the date
- Confirm the entity falls in this group: NFP private sector, NFP public sector and NFP higher education provider.
- Put the requirement into the financial statements preparation plan: name the not-for-profit users in the application guidance.
- Open a workpaper for the first evidence item: The preparation file note that identifies the entity user groups and maps them to the guidance.
Evidence an auditor will ask for
Dates
| Date | What it means | Applies to |
|---|---|---|
| 2027-12-31 | The instrument commences for this paragraph | NFP private, NFP public sector, NFP higher education |
| 2028-01-01 | First annual periods beginning on or after this date apply the Standard | NFP private, NFP public sector, NFP higher education |
Commencement and application are separate tests.
Cross-references
- AASB 18 paragraph B5
- AASB 18 paragraph Aus9.1
Record note
This paragraph supports the Aus9.1 reading and does not add a disclosure of its own.
Questions
What does AASB 18 paragraph AusB5.1 require in practice?
The application guidance is where the auditor tests the user group. Write the group into the preparation file in the entity's own terms, not as a copy of the standard's list.
What is the common mistake under AASB 18 paragraph AusB5.1?
The common mistake is to name only the funders and omit the service recipients and oversight bodies.
What evidence should be kept?
At least: The preparation file note that identifies the entity user groups and maps them to the guidance. The kit carries each one as a row with an owner column to complete.
Source
This page is our statement of the paragraph, cited so you can check it. Read F2026L01162 on legislation.gov.au.
Source pointer: AASB 18 paragraph AusB5.1. Record retrieved 2026-10-20.