Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) Subject to subsection (2), an entity must prepare a sustainability report for a financial year if:
(a) the entity must prepare a financial report for the financial year under this Chapter; and
(b) subsection (3), (5) or (6) of this section applies to the entity for the financial year.
Note: For financial years commencing before 1 July 2027, only certain entities are required to prepare a sustainability report: see Part 10.77.
(2) Despite subsection (1), if:
(a) the accounting standards require an entity (the parent ) to prepare financial statements in relation to a consolidated entity for the financial year; and
(b) the parent elects to prepare a sustainability report for the consolidated entity for the financial year;
then:
(c) the parent is the only entity in the consolidated entity that must prepare a sustainability report for the financial year; and
(d) the sustainability report must be prepared as if the consolidated entity is a single entity.
Thresholds for sustainability reports
(3) This subsection applies to an entity for a financial year if it satisfies at least 2 of the following paragraphs:
(a) the consolidated revenue for the financial year of the entity and the entities it controls (if any) is the following amount or more:
(i) the amount prescribed by regulations made for the purposes of paragraph 45A(2)(a);
(ii) if no amount is prescribed--$50 million;
(b) the value of the consolidated gross assets at the end of the financial year of the entity and the entities it controls (if any) is the following amount or more:
(i) the amount prescribed by regulations made for the purposes of paragraph 45A(2)(b);
(ii) if no amount is prescribed--$25 million;
(c) the entity and the entities it controls (if any) have the following number of employees or more at the end of the financial year:
(i) the number prescribed by regulations made for the purposes of paragraph 45A(2)(c);
(ii) if no number is prescribed--100.
(4) In counting employees for the purposes of subsection (3), take part - time employees into account as an appropriate fraction of a full - time equivalent.
(5) This subsection applies to an entity for a financial year if it is:
(a) a registered corporation under the National Greenhouse and Energy Reporting Act 2007 at the end of the financial year; or
(b) required to make an application to be registered under subsection 12(1) of that Act in relation to the financial year.
(6) This subsection applies to an entity for a financial year if:
(a) the entity is a registered scheme, registrable superannuation entity or retail CCIV; and
(b) the value of assets at the end of the financial year of the entity and the entities it controls (if any) is the following amount or more:
(i) the amount prescribed by regulations made for the purposes of this subparagraph;
(ii) if no amount is prescribed--$5 billion.
Matters worked out in accordance with standards
(7) For the purposes of this section:
(a) the question whether an entity controls another entity is to be decided in accordance with accounting standards made for the purposes of paragraph 295(2)(b); and
(b) consolidated revenue, the value of consolidated gross assets and the value of assets are to be calculated in accordance with accounting standards in force at the relevant time;
(even if the standards do not otherwise apply to the financial year of some or all of the entities concerned).