The XRB’s changes to the accounting standards framework separates New Zealand financial reporting standards into two sectors. For-profit entities with a reporting requirement will apply NZ IFRS based standards with a reduced disclosure option for entities that qualify.
Public sector and not-for profit entities will apply standards which are based on International Public Sector Accounting Standards (IPSAS) as amended for New Zealand specific requirements.
Each sector is then split into tiers - tier 1 contains issuers and other publicly accountable entities and tier 2 contains those entities that can apply the reduced disclosure regime (RDR).
Further information
Overview of the tiers