RDR Concessions – NZ IFRS 18 Presentation and Disclosure in Financial Statements
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We are seeking feedback on proposed RDR concessions for Tier 2 for-profit entities on certain new disclosures requirements introduced in NZ IFRS 18 Presentation and Disclosure in Financial Statements, mandatory from 1 January 2027. |
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Proposed RDR Concessions
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 provide disclosure concessions for Tier 2 for-profit entities for certain new disclosure requirements introduced 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 2 for-profit entities, and other affected stakeholders, to start considering the new requirements early and to provide feedback on this consultation around which disclosures would be relevant for Tier 2 financial statements.
Summary of new NZ IFRS 18 requirements and proposed RDR concessions
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 29 May 2025.
About the RDR framework
The purpose of the RDR framework is to simplify the financial reporting for Tier 2 entities by removing or modifying some of the disclosure requirements in the accounting standards, while maintaining the same recognition and measurement requirements as Tier 1 entities.
The objective is to balance the benefits with the costs of preparing financial statements for Tier 2 for-profit entities. It achieves this by only requiring disclosures when they are of particular interest or value to users of those financial statements.
We intend on publishing all comments on the XRB website, unless they may be defamatory. If you have any objection to this, we will not publish them. However, they will remain subject to the Official Information Act 1982 and, therefore, may be released in part or in full. The Privacy Act 2020 also applies.