The Corporations Regulations 2001 identify remuneration information relating to transactions between key management personnel, or related parties that exert control or influence, and the listed entity, required for inclusion in the Remuneration Report.
The Corporations and Related Legislation Amendment Regulation 2013 (No. 1) amended the Corporations Regulations to include prescribed details relating to the remuneration disclosures associated with key management personnel to replace the accounting standard AASB 124 – Related Party Disclosures.
A number of inconsistencies have been identified since this regulation was made that may increase the complexity of remuneration disclosures borne by business. Therefore, the proposed amendments aim to address these inconsistencies and streamline the reporting requirements.
The proposed amendments to the Corporations Regulations include:
- limiting disclosure of equities that relate to the disclosing entity to reduce the unintended burden of requiring disclosure on all equity holdings;
- requiring certain remuneration disclosures to be separated into classes of equity instruments in order to increase the usefulness of the information; and
- clarifying the scope of the disclosures in relation to certain limited‑recourse loans to ensure that the scope of disclosures is consistent with accounting practices.