Proposed changes to reporting thresholds
The Australian Government is consulting on proposed changes to the large proprietary company thresholds in s45A of the Corporations Act 2001 (Corporations Act), as announced in the 2026-27 Budget. The proposed changes will result in an increase to the thresholds for consolidated revenue to $100 million (from $50 million) and consolidated assets to $50 million (from $25 million).
If the proposed changes are made, they will affect which entities are required to prepare a financial report and sustainability report under Chapter 2M of the Corporations Act. Some entities that were expecting to report as a Group 3 entity may no longer be required to prepare a financial report or sustainability report.
The proposed changes are not yet in effect, so you should continue to check for updates. Until any changes are made, the existing financial reporting and sustainability reporting thresholds continue to apply.
Issued 31 March 2025
This guide is for entities required to prepare a sustainability report under Ch 2M of the Corporations Act (reporting entities). This may include companies (including registered corporations under the National Greenhouse and Energy Reporting Act 2007), registered schemes, registrable superannuation entities and retail corporate collective investment vehicles.
It explains how ASIC will exercise specific powers under legislation (primarily the Corporations Act), how ASIC interprets the law and the principles underlying ASIC’s approach. It also provides practical guidance to entities about complying with their sustainability reporting obligations.
Reporting entities may ask for information from entities within their value chain, including small businesses and farmers. These entities should refer to ASIC’s website about sustainability reporting and what it means for them.