Amendments to For-profit Domestic Accounting Standards due to NZ IFRS 18
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We are seeking feedback on proposed amendments to several for-profit domestic accounting standards due to NZ IFRS 18 Presentation and Disclosure in Financial Statements, mandatory from 1 January 2027. |
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Proposed amendments to for-profit domestic accounting standards
We issued NZ IFRS 18 in May 2024, mandatory for all for-profit entities from 1 January 2027 (or earlier, as applicable). This Standard aims to improve how information is communicated in the financial statements – particularly in the statement of profit or loss. NZ IFRS 18 replaces NZ IAS 1 Presentation of Financial Statements.
We are now proposing to amend the following for-profit domestic accounting standards:
- FRS-42 Prospective Financial Statements
- FRS-43 Summary Financial Statements
- FRS-44 New Zealand Additional Disclosures
The proposed amendments to FRS-42 and FRS-43 aim to ensure that the presentation requirements for prospective and summary financial statements are consistent, where appropriate, with the requirements for the presentation of historical financial statements under NZ IFRS 18.
The proposed amendment to FRS-44 aims to ensure consistency with the requirements in NZ IFRS 18 and changes to NZ IAS 7 Statement of Cash Flows (as amended by NZ IFRS 18).
Our Consultation Document and accompanying Exposure Draft detail these proposals.
NZ IFRS 18 is a new accounting standard which will significantly affect the financial statements of all for-profit entities through the introduction of new presentation and disclosure requirements.
We encourage Tier 1 and Tier 2 for-profit entities, and other affected stakeholders, to start considering the new requirements early and to provide feedback on this consultation around how the presentation and disclosure requirements within prospective and summary financial statements should be impacted to align with NZ IFRS 18 requirements.
For more information on NZ IFRS 18, please refer to our NZ IFRS 18 page.
How to provide feedback
You can send your comments directly to the XRB via accounting@xrb.govt.nz or complete the form below.
The consultation closes on Thursday 31 July 2025.
All submissions will be published on the XRB website unless confidentiality is requested. If you object to the release of any information in your submission, please identify the specific parts and the reasons under the Official Information Act 1982. We reserve the right not to publish defamatory submissions. Submissions are subject to the Official Information Act 1982 and the Privacy Act 2020. The XRB will handle personal information in accordance with these Acts.