5 Disclosure of changes in accounting policy and estimates
Initial application of an Australian Accounting Standard
The PTA has applied the following Australian Accounting Standards and Australian Accounting Interpretations effective for annual reporting periods beginning on or after 1 July 2008 that impacted the Authority:
Review of AAS 27 ‘Financial Reporting by Local Governments’, AAS 29 ‘Financial Reporting by Government Departments’ and AAS 31 ‘Financial Reporting by Governments’. The AASB has made the following pronouncements from its short term review of AAS 27, AAS 29 and AAS 31:
" AASB 1004 ‘Contributions’;
" AASB 1050 ‘Administered Items’;
" AASB 1051 ‘Land Under Roads’;
" AASB 1052 ‘Disaggregated Disclosures’;
" AASB 2007-9 ‘Amendments to Australian Accounting Standards arising from the review of AASs 27, 29 and 31 [AASB 3, AASB 5, AASB 8, AASB 101, AASB 114, AASB 116, AASB 127 & AASB 137]’; and
" Interpretation 1038 ‘Contributions by Owners Made to Wholly-Owned Public Sector Entities’.
The existing requirements in AAS 27, AAS 29 and AAS 31 have been transferred to the above new and revised topic-based Standards and Interpretation. These requirements remain substantively unchanged. AASB 1050, AASB 1051 and AASB 1052 do not apply to Statutory Authorities. The other Standards and Interpretation make some modifications to disclosures and provide additional guidance, otherwise there is no financial impact.
Future impact of Australian Accounting Standards not yet operative
The PTA cannot early adopt an Australian Accounting Standard or Australian Accounting Interpretation unless specifically permitted by TI 1101 ‘Application of Australian Accounting Standards and Other Pronouncements’. Consequently, the PTA has not applied early the following Australian Accounting Standards and Australian Accounting Interpretations that have been issued but are not yet effective. Where applicable, PTA plans to apply these standards and interpretations from their application date:
AASB 101 ‘Presentation of Financial Statements’ (September 2007). This Standard has been revised and will change the structure of the financial statements. These changes will require that owner changes in equity are presented separately from non-owner changes in equity. The PTA does not expect any financial impact when the Standard is first applied. The Standard is required to be applied to annual reporting periods beginning on or after 1 January 2009.
AASB 2008-13 ‘Amendments to Australian Accounting Standards arising from AASB Interpretation 17 - Distributions of Non-cash Assets to Owners [AASB 5 & AASB 110]’. This Standard amends AASB 5 ‘Non-current Assets Held for Sale and Discontinued Operations’ in respect of the classification, presentation and measurement of non-current assets held for distribution to owners in their capacity as owners. This may impact on the presentation and classification of Crown land held by the PTA where the Crown land is to be sold by the Department of Regional Development and Lands (formerly Department for Planning and Infrastructure). The PTA does not expect any financial impact when the Standard is first applied prospectively. The Standard is required to be applied to annual reporting periods beginning on or after 1 July 2009.
AASB 2009-2 ‘Amendments to Australian Accounting Standards - Improving Disclosures about Financial Instruments [AASB 4, AASB 7, AASB 1023 & AASB 1038]’. This Standard amends AASB 7 and will require enhanced disclosures about fair value measurements and liquidity risk with respect to financial instruments. The PTA does not expect any financial impact when the Standard is first applied. The Standard is required to be applied to annual reporting periods beginning on or after 1 January 2009.