ASIC Class Order [CO 00/0321]

Administered by Department of the Treasury

Legislation au F2006B00369 Not in force Legislative Instrument

Legislation content

1

 

AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION

SUBSECTION 341(1) CORPORATIONS LAW

CLASS ORDER

 

PURSUANT to subsection 341(1) of the Corporations Law ("the Law") the

AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION ("ASIC")

HEREBY:

 

(a) Varies Class Order 98/0098 dated 10th July 1999 by replacing all occurrences of the word "incorporation" with the word "registration" and replacing all occurrences of the word "incorporated" with the word "registered";

 

(b) Varies Class Order 98/0099 dated 10th July 1999 by inserting the words "the end of the first financial year of the company that ended after" after the word "after" in paragraph (f);

 

(c) Varies Class Order 98/0100 dated 10th July 1999 by:

 

(i) replacing the words "financial year to half-year" in the first paragraph with the words "financial year or half-year";

 

(ii) inserting the following words immediately before the heading

"PRESCRIBED AMOUNTS":

 

"LOWER PRESCRIBED AMOUNTS

 

The Entity may substitute a lower amount ("the Lower Prescribed

Amount") for a prescribed amount otherwise required by this Order ("the

Replaced Prescribed Amount") provided that the Lower Prescribed

Amount is:

 

(a) one-tenth of one cent, one cent, $1, $1,000 or $100,000;

 

(b) less than the Replaced Prescribed Amount; and

 

(c) applied for all amounts in the financial report and directors' report to which the Replaced Prescribed Amount otherwise applied.";

 

(iii) Under the heading "PRESCRIBED AMOUNTS" adding immediately before the semi-colon at the end of paragraph (iv) the words "or pursuant to paragraphs 6.1 and 6.2 of accounting standard AASB 1034 "Financial Report Presentation and Disclosures" (notice of which was published in the Commonwealth of Australia Gazette on 14 October 1999) ("revised AASB 1034")"; and

 

(iv)            Under the heading "PRESCRIBED AMOUNTS" adding immediately before the semi-colon at the end of paragraph (v) the words "or pursuant to paragraph 5.3 of revised AASB 1034";


2

 

(d) Varies Class Order 98/0105 by replacing the following words:

 

"Paragraphs 4.1 to 7.2 of accounting standard AASB 1033 "Presentation and Disclosure of Financial Instruments" and paragraphs 4.1 to 7.2 of accounting standard AASB 1034 "Information to be Disclosed in Financial Reports"

 

with the words:

 

"Paragraphs 4.1 to 7.2 of accounting standard AASB 1033 "Presentation and Disclosure of Financial Instruments" (notice of which was given in the Commonwealth of Australia Gazette on 12 December 1996); paragraphs 4.1 to 6.6 of accounting standard AASB 1033 "Presentation and Disclosure of Financial Instruments" (notice of which was given in the Commonwealth of Australia Gazette on 29 October 1999); paragraphs 4.1 to 7.2 of accounting standard AASB 1034 "Information to be Disclosed in Financial Reports" (notice of which was given in the Commonwealth of Australia Gazette on 12 December 1996) and paragraphs 4.1 to 5.3 and 7.1 to 8.4 of accounting standard AASB 1040 "Statement of Financial Position";

 

(e) Varies Class Order 98/0107 by replacing "("AASB 1034")" with the words " or, if applicable to the Entity's financial statements, accounting standards AASB 1018 "Statement of Financial Performance", AASB 1034 "Financial Report Presentation and Disclosures" and AASB 1040 "Statement of Financial Position" (notice of which three standards was published in the Commonwealth of Australia Gazette on 14 October 1999)";

 

(f) Varies Class Order 98/0107 by replacing the words "set out in AASB 1034" with the words "set out in those accounting standards";

 

(g) Varies Class Order 98/0109 by replacing the words "and before 1 July 1999" with the words "and before 1 July 2000";

 

(h) Varies Class Order 98/0110 by inserting immediately after the words "in paragraph 8.1 of AASB 1033 "Presentation and Disclosure of Financial Instruments"" the words "or paragraph 7.1 of AASB 1033 "Presentation and Disclosure of Financial Instruments" (notice of which was given in the Commonwealth of Australia Gazette on 29 October 1999)"; and

 

(i) Varies Class Order 98/1418 dated l3th August 1998 as varied by Class Order

98/2017 dated 30th October 1998 by replacing the following words:

 

“- Subsections 327(1) to (5) (the requirement for a company, other than a proprietary company, to appoint an auditor) provided that the Entity is:

 

(i) a wholly-owned subsidiary of a body corporate as defined in
section 9 of the Law; or

 

(ii) a related body corporate of an Australian bank,"

 

3

 

 

with the words:

 

“- Subsections 327(1) to (5) (the requirement for a company, other than a

 proprietary company, to appoint an auditor),".

 

Dated the 8th day of February 2000

 

 

 

Signed by George Durbridge

as a delegate of the Australian Securities and Investments Commission

 

 

 

Overview

The Australian Securities and Investments Commission (ASIC) Class Order 2000, enacted in 2000, was introduced to provide flexibility in the application of certain financial reporting requirements for companies, particularly focusing on prescribed amounts and auditor appointment criteria. This legislative instrument was enacted by ASIC under the authority granted by the Corporations Act 2001, aiming to streamline financial reporting processes and ensure compliance with updated accounting standards. The policy objective is to enhance the clarity and effectiveness of financial disclosures while accommodating variations in company circumstances and the evolving landscape of accounting standards.

Scope and Application

The legislative instrument F2006B00369, issued by the Australian Securities and Investments Commission (ASIC) pursuant to subsection 341(1) of the Corporations Law, modifies various Class Orders that pertain to financial reporting and auditing requirements under the Law. These modifications are aimed at updating and clarifying the application of specific accounting standards and financial reporting requirements for entities subject to the Corporations Law. The affected Class Orders include those related to the disclosure of financial information, prescribed amounts in financial reports, and the application of accounting standards such as AASB 1033, AASB 1034, and AASB 1040. The changes involve textual adjustments, the substitution of terms, and the incorporation of revised accounting standards to ensure alignment with the current regulatory framework. These variations are applicable to entities that must comply with financial reporting obligations under the Corporations Law, which includes companies, proprietary companies, and other bodies corporate as defined by the Law. The legislative instrument extends its reach across the Commonwealth of Australia, impacting financial reporting practices and auditing requirements for entities within its jurisdiction.

Key Provisions

The primary operative sections of the legislative instrument primarily concern Class Orders 98/0098, 98/0099, 98/0100, 98/0105, 98/0107, 98/0109, 98/0110, and 98/1418. Section (a) modifies Class Order 98/0098 by replacing the word "incorporation" with "registration" and "incorporated" with "registered." Section (b) varies Class Order 98/0099 by inserting specific timing language related to the financial year of the company. Section (c) modifies Class Order 98/0100 by replacing certain wordings and introducing new provisions regarding lower prescribed amounts and accounting standards. Sections (d) to (h) further adjust various Class Orders to update references to accounting standards, particularly those related to financial instruments, financial reports, and financial positions. Finally, section (i) revises Class Order 98/1418 by removing specific exemptions related to the appointment of auditors for certain entities. The obligations imposed by this Act require entities governed by these Class Orders to comply with the updated terminology and provisions, including the substitution of lower prescribed amounts, adherence to revised accounting standards, and changes in the timing of certain financial report disclosures. Entities must ensure that their financial reports and directors' reports reflect these modifications accurately. Additionally, they must ensure that any references to accounting standards are updated to reflect the revised standards and that all changes are implemented within the specified timeframes. Failure to comply with the requirements of the legislative instrument may result in civil or criminal penalties. The specific consequences of non-compliance are not detailed within the text, but generally, breaches of Class Orders can lead to fines, legal action, or other regulatory sanctions. The maximum penalties for such breaches would typically be determined by the relevant court or tribunal handling the case, taking into account the severity and intent of the non-compliance. It is essential for entities to stay informed about these changes and ensure full compliance to avoid any adverse legal or financial repercussions.

Legal classification tags

Area of Law
Corporate Law & Governance
Instrument
Legislative Instrument
Concepts
Definitions & Interpretation
Repeal & Amendment
Regulatory Standards
Reporting & Disclosure Obligations

Interactions

Authorises

All Versions

Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.