Register / AASB 2026-4 Amendments to Australian Accounting Standards / AASB 2026-4 paragraphs 1 to 3
Confirm the instrument applies to the entity and the period
The instrument amends seven standards and reaches entities and financial statements through AASB 1057. It covers annual periods beginning on or after 1 January 2028. One exception: the AASB 1039 and AASB 1054 amendments also reach for-profit entities, other than a superannuation entity that applies AASB 1056, for annual periods beginning on or after 1 January 2027. An entity may apply early, provided AASB 18 also covers that period.
Why the paragraph exists
The instrument is relevant only to Tier 1 general purpose financial statements. A Tier 2 or special purpose reporter is outside it, and saying so is part of a correct scope answer.
In practice
Write the scope memo before the technical work. It records the entity group, the tier, the period and the early application decision, and every later paper refers to it.
If the entity is Tier 2 or prepares special purpose statements, say so and stop. Applying the instrument anyway is a scope error in the other direction.
The mistake to avoid
The common mistake is to start with the paragraph list before confirming the tier.
Who it binds
Tier 1 general purpose financial statements of the entities named in the instrument.
What to do before the date
- Confirm the entity falls in this group: For-profit entity, NFP private sector, NFP public sector, NFP higher education provider, Superannuation entity and Government (AASB 1049).
- Put the requirement into the financial statements preparation plan: confirm the instrument applies to the entity and the period.
- Open a workpaper for the first evidence item: The scope memo that records the reporting tier, the entity group and the first affected period.
Evidence an auditor will ask for
Dates
| Date | What it means | Applies to |
|---|---|---|
| 2027-12-31 | The application paragraphs commence for all other entities | All in-scope entities |
| 2028-01-01 | Annual periods beginning on or after this date for the main application | All in-scope entities |
| 2027-01-01 | Annual periods beginning on or after this date for the AASB 1039 and AASB 1054 amendments for for-profit entities other than superannuation entities | for-profit |
Commencement and application are separate tests.
Cross-references
- AASB 1057 Application of Australian Accounting Standards
- AASB 18 paragraph AusC1.1
- AASB 2026-4 paragraph 26
Record note
The Basis for Conclusions states that AASB 2026-4 is relevant only to entities preparing Tier 1 general purpose financial statements.
Questions
What does AASB 2026-4 paragraphs 1 to 3 require in practice?
Write the scope memo before the technical work. It records the entity group, the tier, the period and the early application decision, and every later paper refers to it.
What is the common mistake under AASB 2026-4 paragraphs 1 to 3?
The common mistake is to start with the paragraph list before confirming the tier.
What evidence should be kept?
At least: The scope memo that records the reporting tier, the entity group and the first affected period.; The AASB 1057 application analysis for the entity. 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 2026-4 paragraphs 1 to 3. Record retrieved 2026-10-20.