How do I know if I am Tier 1 or Tier 2

You MAY not be either, and SPFR may still apply.

It might be easier to just ask these two questions:

Question 1

Does legislation require me to prepare financial statements in accordance with Australian Accounting Standards?

The most common legislation regarding companies is the Corporations Act

If NO = Does my trust deed or constitution require it (see below)

If YES = Okay so I have to prepare GPFR, okay, so what type of GPFR? Does the entity have PUBLIC accountability?

What is public accountability?

Public accountability means accountability to those existing and potential resource providers and others external to the entity who make economic decisions but are not in a position to demand reports tailored to meet their particular information needs.

If YES = I must prepare Tier 1 (ASX level) GPFR for my client

If NO = I must prepare Tier 2 GPFR for my client

Question 2

Does my constitution or and trust deed require me to prepare financial statements in accordance with Australian Accounting Standards?

If NO = do SPFR

If YES = look above for Tier 1 or 2.

Tip - if the constitution or trust deed requires it, can you amend it so that it is removed?

CPA FlowChart: