ASIC remakes wholly-owned companies relief instrument

ASIC has remade relief for eligible wholly-owned companies, ensuring they can continue to rely on existing financial reporting arrangements beyond 1 October 2026.

ASIC Corporations (Wholly-owned Companies) Instrument 2026/533 continues existing financial reporting relief for eligible wholly-owned companies under Chapter 2M of the Corporations Act 2001.

This relief applies where the company meets the relevant conditions, including being party to a deed of cross guarantee with its holding company and other group entities, and where the holding company lodges consolidated financial statements for the group.

The remade instrument maintains the existing relief while broader reforms to group reporting relief are progressed. Companies do not need to take any action solely because the instrument has been remade: the eligibility conditions remain consistent, and savings provisions apply.

ASIC consulted on the proposed remake through CS 61 Proposed remake of ASIC Corporations (Wholly-owned Companies) Instrument 2016/785 and received four submissions, all supporting the proposal. ASIC’s response and non-confidential submissions are available on the consultation page.

ASIC will update relevant forms, regulatory guidance and website content to reflect the new instrument.

Background

The relief streamlines financial reporting by reducing duplicative reporting requirements for eligible wholly-owned companies.

Companies relying on the relief must continue to meet a range of conditions and safeguards, including requirements relating to deeds of cross guarantee, solvency, consolidated financial statements, director resolutions, disclosures and the lodgement of relevant forms.

More information