Please use this identifier to cite or link to this item: http://hdl.handle.net/1959.13/27578
- The saga of a disallowed accounting standard
- In 2000, the Australian Senate disallowed 2 paragraphs of the accounting standard AASB 1015, Acquisition of Assets, an unprecedented action that sent shockwaves through the business community. As a consequence, a legal dispute erupted between the Australian Securities and Investments Commission (ASIC) and MYOB Ltd. in relation to the application of the disallowed paragraphs, culminating in a recent decision in the Victorian Supreme Court. MYOB acted in accordance with the law through its early adoption of the 2 paragraphs in AASB 1015 and valuation of its first-acquired assets at their book and continues to comply with the law by its use of the book-value method to account for the April 1, 1999, reconstruction in the financial statements for periods subsequent to December 31, 1999. The implications for accounting standard-setting in Australia and the process by which an accounting standard is made by the AASB and may be disallowed in whole or in part by parliament are discussed.
- Australian Accounting Review Vol. 14, Issue 3, p. 56-63
- CPA Australia
- Resource Type
- journal article