Corporations Act 2001
View history note
Hide history noteTo make an order under section 340 , 340A , 341 or 341A , ASIC must be satisfied that complying with the relevant requirements of Parts 2M.2 , 2M.3 and 2M.4 would: (a) make the financial report or other reports misleading; or (b) be inappropriate in the circumstances; or (c) impose unreasonable burdens.
342(2)
In deciding for the purposes of subsection (1) whether the audit requirements for a proprietary company, or a class of proprietary companies, would impose an unreasonable burden on the company or companies, ASIC is to have regard to: (a) the expected costs of complying with the audit requirements; and (b) the expected benefits of having the company or companies comply with the audit requirements; and (c) any practical difficulties that the company or companies face in complying effectively with the audit requirements (in particular, any difficulties that arise because a financial year is the first one for which the audit requirements apply or because the company or companies are likely to move frequently between the small and large proprietary company categories from one financial year to another); and (d) any unusual aspects of the operation of the company or companies during the financial year concerned; and (e) any other matters that ASIC considers relevant.
342(3)
In assessing expected benefits under subsection (2) , ASIC is to take account of: (a) the number of creditors and potential creditors; and (b) the position of creditors and potential creditors (in particular, their ability to independently obtain financial information about the company or companies); and (c) the nature and extent of the liabilities of the company or companies.
Disclaimer and notice of copyright applicable to materials provided by CCH Australia Limited
CCH Australia Limited ("CCH") believes that all information which it has provided in this site is accurate and reliable, but gives no warranty of accuracy or reliability of such information to the reader or any third party. The information provided by CCH is not legal or professional advice. To the extent permitted by law, no responsibility for damages or loss arising in any way out of or in connection with or incidental to any errors or omissions in any information provided is accepted by CCH or by persons involved in the preparation and provision of the information, whether arising from negligence or otherwise, from the use of or results obtained from information supplied by CCH.
The information provided by CCH includes history notes and other value-added features which are subject to CCH copyright. No CCH material may be copied, reproduced, republished, uploaded, posted, transmitted, or distributed in any way, except that you may download one copy for your personal use only, provided you keep intact all copyright and other proprietary notices. In particular, the reproduction of any part of the information for sale or incorporation in any product intended for sale is prohibited without CCH's prior consent.
