Impacts of COVID-19 on annual report disclosures: A guide for directors, preparers and auditors

The AICD along with professional accounting bodies, Chartered Accountants Australia & New Zealand and CPA Australia, have jointly written a new guide covering the unique problems COVID-19 presents Australian directors as they approach reporting season.

Featuring an introduction from ASIC Chair James Shipton, the guideis a valuable resource for directors of all entities, large or small, listed or unlisted, for-profit, not-for-profit and government, as they approach reporting season.

Guidance for directors

The guide will assist directors who are:

• assessing the impacts of COVID-19 on their entity
• oversighting good practice in the preparation of their annual report
• considering what to disclose around COVID-19 in the directors’ report and/or operating and financial review
• examining questions around liability, risk and forward-looking statements in disclosures
• assessing going concern and solvency
• COVID-19 related considerations impacting financial statements
• engaging with auditors over the reports.

It provides key questions and tips for directors dealing with management and auditors around the financial statements and uses case studies to illustrate key points around disclosures in financial reports.

The AICD, CA ANZ and CPA Australia wish to acknowledge the following firms who assisted with the preparation of this Guide:  Corrs Chambers Westgarth, Herbert Smith Freehills, Gilbert + Tobin, KPMG and Deloitte.