Justice Connect’s submission, presented on the 28th of February 2025 to the Australian Accounting Standards Board (AASB), underscores the need for financial reporting obligations that are fair, proportionate, and accessible for the full diversity of the not-for-profit (NFP) sector. 

Drawing on our experience supporting small-to-medium community organisations, Justice Connect argues that the current financial reporting framework imposes significant burdens, particularly on small, volunteer-led charities.  

In our submission, Justice Connect outlines 4 points for the AASB’s to consider:  

1. The Constituting Document Proposal should be removed as small not-for-profits as they have limited resources available for legal or accounting advisory services.  

2. The constituting document date exemption must be redrafted in a way that allows NFPs covered by the exemption to adjust their constitution documents and provide additional support and resources.  

3. The regulators must work together and carefully consider reporting entity sizes, it is impossible to make a conclusive submission on the Exposure Drafts without understanding the reporting entity sizes the Regulators will adopt.  

4. There must be a long lead time for implementation with careful consideration of other reforms impacting the sector. 

Read the full submission: