ASIC extends financial reporting deadlines

IFRS news

ASIC has amended the Corporations Act 2001 to provide an additional month for companies to lodge their financial statements.  This affects all entities with 30 June year-ends which lodge financial statements under the Corporations Act.

  • financial reporting deadlinesThe deadline for listed companies is extended until 31 October 2020 (but see below in respect of Appendix 4E)
  • The deadline for unlisted disclosing entities and registered schemes is extended until 31 October 2020
  • The deadline for Proprietary Companies and other non-disclosing entities is extended to 30 November 2020.
  • Listed entities with a 31 December year-end now have until 13 October to lodge their half-year reports.

Importantly for listed entities, the ASX has not extended the deadline for the lodgement of Appendix 4E under ASX Listing rules 4.3A and 4.3B.  This means that non-exploration entities will still have to lodge financial statements by 31 August.  If the audited financial statements are not available by that date, they must lodge unaudited financial statements.  The extensions above do not affect continuous disclosure obligations, and listed entities should continue to lodge their financial statements as soon as practicable.  Where listed entities intend to rely on this extension, they should disclose this to the market, and state the reasons why they have used the extension.

Commenting on the extension, Ralph Martin, National Technical Director of RSM Australia, stated:

“We welcome ASIC’s extension of relief from financial reporting deadlines to 30 June preparers.  The impact of COVID-19 on business has been significant, and its effects will cause substantial challenges in preparing and auditing financial statements, including issues such as the determination of fair values, impairment assessments, and going concern considerations. 

While Australia has currently been less affected than some other jurisdictions, many Australian entities have global operations which continue to experience a high level of disruption to their operations.  The deadline extension offered by ASIC is a suitably proportionate response which balances these issues against the need for timely and relevant financial information.”

For more information

If you have any questions or require further information, contact your local RSM adviser today.