Amendments to AASB 112Amendments to AASB 112

Amendments to AASB 112

31 In paragraphs 2, 15, 18(e), 24, 38, 44, 45, 81(f), 87 and 87C and the heading before paragraph 38, ‘joint venture’ is amended to ‘joint arrangement’ and ‘joint ventures’ is amended to ‘joint arrangements’.

32 Paragraph 39 is amended as follows (new text is underlined and deleted text is struck through):

39 An entity shall recognise a deferred tax liability for all taxable temporary differences associated with investments in subsidiaries, branches and associates, and interests in joint ventures arrangements, except to the extent that both of the following conditions are satisfied:

(a) the parent, investor, or joint venturer or joint operator is able to control the timing of the reversal of the temporary difference; and

(b) …

33 Paragraph 43 is amended as follows (new text is underlined and deleted text is struck through):

43 The arrangement between the parties to a joint venture arrangement usually deals with the sharing distribution of the profits and identifies whether decisions on such matters require the consent of all the venturers parties or a specified majority group of the venturers parties. When the joint venturer or joint operator can control the timing of the distribution of its share of the sharing of profits of the joint arrangement and it is probable that its share of the profits will not be distributed in the foreseeable future, a deferred tax liability is not recognised.

34 Paragraph 98A is added as follows:

98A AASB 2011-7 Amendments to Australian Accounting Standards arising from the Consolidation and Joint Arrangements Standards, issued in August 2011, amended paragraphs 2, 15, 18(e), 24, 38, 39, 43-45, 81(f), 87 and 87C. An entity shall apply those amendments when it applies AASB 11 Joint Arrangements.