How does the AASB set standards and interpretations?
The AASB adopts a comprehensive due process to develop pronouncements. It encourages preparers, auditors and users of financial statements to participate in the process, as detailed below. The AASB’s standard-setting process is summarised in a diagram on the website. The due process adopted by the AASB may include the following steps: 1. communicating its views and proposals to a broad range of interested parties via media releases, alerts, publications and other items on its website; 2. inviting public comment on proposed pronouncements via exposure drafts, invitations to comment, proposed interpretations and other open-for-comment documents; 3. meeting with interested parties, including holding roundtable discussions and meeting with its Consultative Group; 4. publishing selected Board papers and discussing technical issues in Board meetings that are open to public observation; 5. publishing Action Alerts following Board meetings and minutes of Board meetings.
