NEW ZEALAND GAZETTE, No. 20 — 5 MARCH 2015

Standard. Each specific exemption is identified by an asterisk in the Standard. FRS-24 does not apply to interim financial statements prepared for inclusion in a registered prospectus.

FRS-30: Reporting Share Ownership Arrangements Including Employee Share Ownership Plans:
Qualifying entities are exempt from the requirements of paragraph 5.6 of FRS-30.

Full Compliance (No Differential Reporting Concessions)

Qualifying entities shall comply with all the provisions in the following standards:

FRS-1 Disclosure of Accounting Policies

FRS-2 Presentation of Financial Reports:
FRS-2 shall be followed by all entities. While there are certain exemptions for qualifying entities within FRS-2 these all relate to exemptions provided by other standards. For example, FRS-2 notes that qualifying entities will not be required to prepare a statement of cash flows.

FRS-5 Events After Balance Date

FRS-7 Extraordinary Items and Fundamental Errors

FRS-20 Accounting for Shares Issued Under a Dividend Election Plan:
All companies shall comply with FRS-20.

FRS-26 Accounting for Defeasance of Debt

FRS-27 Right of Set-Off

FRS-32 Financial Reporting by Superannuation Schemes

FRS-33 Disclosure of Information by Financial Institutions

FRS-34 Life Insurance Business

FRS-35 Financial Reporting of Insurance Activities

FRS-36 Accounting for Acquisitions Resulting in Combinations of Entities or Operations

FRS-37 Consolidating Investments in Subsidiaries

FRS-38 Accounting for Investments in Associates

FRS-42 Prospective Financial Statements

Statements of Standard Accounting Practice

Full Exemption

Any qualifying entity is granted full exemption from:

SSAP-12 Accounting for Income Tax

SSAP-23 Financial Reporting for Segments

It should be noted that SSAP-12 contains recognition, measurement, and disclosure requirements. When the entity chooses to tax effect account, it shall do so in accordance with SSAP-12. Whether the entity accounts for income tax using the liability or the taxes payable method, it is not required to make any particular income tax note disclosures. However, when the entity voluntarily makes disclosures from which it is exempt, these disclosures shall be made in accordance with SSAP-12. In all instances, the entity shall disclose the accounting policy adopted for income tax, in accordance with FRS-1: Disclosure of Accounting Policies.

Partial Exemption

Qualifying entities are given partial exemption from the following:

SAAP-17: Accounting for Investment Properties and Properties Intended for Sale: Qualifying entities which recognise investment property revaluations or development margins shall comply with all provisions of SSAP-17. Other qualifying entities need not account for investment properties and properties intended for sale in terms of SSAP-17.

SSAP-18: Accounting for Leases and Hire Purchase Contracts: Qualifying entities are exempt from the requirements of paragraph 5.15(b) and may satisfy the requirements of paragraphs 5.15(c) and 5.17 by disclosing lease liabilities and commitments classified into current and non-current amounts only.

SSAP-22: Related Party Disclosures: Qualifying entities shall comply with SSAP-22, paragraphs 5.1(a) and (b). Qualifying entities are exempt from the requirements of other paragraphs of SSAP-22.

Full Compliance (No Differential Reporting Concessions)

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