ASIC Remakes Instruments Affecting Company Financial Reporting

ASIC has remade 3 legislative instruments relating to financial reporting and released updated audit relief documents.

The Australian Securities and Investments Commission (ASIC) has remade three legislative instruments that affect financial reporting by companies following a public consultation, in a statement issued today.

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The relief is set out in the following new legislative instruments:

  • ASIC Corporations (Audit Relief) Instrument 2016/784 (replaces Class Order 98/1417)
  • ASIC Corporations (Wholly owned Companies) Instrument2016/785 (replaces Class Order 98/1418)
  • ASIC Corporations (Qualified Accountant) Instrument 2016/786(replaces Class Order 01/1256)


ASIC has also released updated versions of the following documents related to audit relief for certain proprietary companies:

  • Regulatory Guide 115 Audit relief for proprietary companies
  • Pro Forma 183 Deed of subordination

In addition, updated versions of the following documents related to relief for certain wholly owned companies have been released:

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  • Pro Formas 24 Deed of cross guarantee, PF 25 Notice of disposal, PF 26 Revocation deed, and PF 27 Assumption deed
  • Information Sheet 24 Deeds of cross-guarantee

The new instruments can be found at and the other documents at

In addition, Class Orders [CO 98/106] Financial reports of superannuation funds, approved deposit funds and pooled superannuation trusts and [CO 99/1225] Financial reporting requirements for benefit fund friendly societies have been repealed as they are no longer necessary or useful. [CO 99/1225] ceased to be operative more than ten years ago.


The instruments provide relief to large proprietary companies and certain small foreign-controlled proprietary companies from the need to appoint an auditor and have their financial report audited.

They also relieve wholly owned companies from the need to prepare and have audited a financial report, provided they enter into a deed of cross-guarantee with their holding company and other wholly owned companies.

In addition, the instruments specify the classes of accountants who are qualified accountants for particular purposes under the Corporations Act 2001, particularly giving sophisticated investor certificates.

A consequence of remaking Class Order [CO 98/1418] as an ASIC instrument is that in order to join a company to a deed of cross-guarantee executed before the commencement of ASIC Corporations (Wholly owned Companies) Instrument 2016/785, a new deed will need to be executed or the pre-existing deed varied to reflect the revised Pro Forma 24.

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