NSW Treasury's accounting policy guidelines and publications

• TPG23-16 Related Party Disclosures (PDF 1.06MB)
• TPG23-09 Guidance when performing valuations of physical non-current assets (PDF 3.28MB)
• TPG25-02 Mandates of options and major policy decisions under Australian Accounting Standards (PDF 972.7KB)
• TPG25-03 Financial Reporting Code for NSW General Government Sector Agencies (PDF 2.7MB)
• TPG22-23 Agencies with Occupancy Agreements with Property NSW (PDF 809.52KB)
• TPG22-28 Returns on Equity Investment (PDF 576.33KB)
• TPG23-21 Determining the present value of a provision (PDF 536.92KB)
• TPG24-14 Guidance - Accounting for Bid Cost Contributions (PDF 445.88KB)
• TPG24-23 Accounting for Long Service Leave and Annual Leave (PDF 685.97KB)
• TPG24-33 Reporting framework for first year climate-related financial disclosures.

• TD21-05 Valuation of Physical Non-Current Assets at Fair Value (PDF 687.03KB)
• TD23-24 SDA Account financial reports.

• TC20-07 Withdrawal of TPP 06-8 Accounting for Privately Financed Projects (PDF 143.65KB)
• TC20-04 Accounting Policy - Public Sector Operators in a Service Concession Arrangement (PDF 184.96KB)
• TC20-03 Accounting Policy - Transition Requirements for AASB 1059 Service Concession Arrangements Grantor (PDF 53.95KB)
• TC20-02 AASB 16 Leases – Subsequent Measurement of ROUA (PDF 391.12KB)
• TC19-07 AASB 15 Revenue from Contracts with Customers and AASB 1058 Income of Not-for-Profit Entities Transition Elections (PDF 134.71KB)
• TC19-06 Financial Statements Disclosures for Machinery of Government Changes (PDF 274.68KB)
• TC21-11 Timetable for Agency Asset Valuation (PDF 139.4KB)
• TC18-10 Accounting for Superannuation (PDF 186.58KB)
• TC18-05 AASB 16 Leases Transition Elections (PDF 133.92KB)
• TC15-07 Mandatory Financial and Annual Reporting requirements arising from personnel service arrangements (PDF 244.28KB)
• TC15-05 Financial reporting requirements for NSW Government entities including those affected by restructures (PDF 207.7KB).

• TPP21-10 Accounting for Financial Instruments (PDF 1.15MB)
• TPP21-09 Valuation of Physical Non-Current Assets at Fair Value (PDF 497.15KB)
• TPP21-08 Contributions by owners made to wholly-owned Public Sector Entities (PDF 264.29KB)
• TPP21-07 Distinguishing For-Profit from Not-For-Profit entities (PDF 234.38KB)
• TPP21-06 Lessor classification of long-term land leases (PDF 183.61KB)
• TPP21-03 Administered Items (PDF 283.29KB)
• TPP20-08 Internal Audit and Risk Management Policy for the General Government Sector
• TPP06-6 Guidelines for Capitalisation of Expenditure on Property, Plant and Equipment (PDF 265.36KB).

Guidance on the application of AASB 2022-10 Amendments to Australian Accounting Standards – Fair Value Measurement of Non-Financial Assets of Not-for-Profit Public Sector Entities (PDF 248.35KB)

• Guidance on the Impact of the Delayed 2023-24 NSW State Budget on the Consideration of Going Concern
• COVID-19 related accounting guidance
• Guidance on how to reflect the effects of climate-related matters in financial statements (PDF 687.13KB)
• Capitalisation of costs relating to cloud-based software (PDF 216.42KB)
• Frequency asked questions – AASB 16 Leases
• Guidance for AASB 15 Revenue from contracts with customer
• Guidance for AASB 16 Leases
• Guidance for AASB 1058 Income of not-for-profit entities
• Guidance on estimating a provision for paid parental leave enhancements (PDF 201.42KB).

The Bulletin is intended to provide quick a reference point for changes in financial reporting that CFOs and financial accountants should be aware of.

View all issues on the NSW Treasury's Accounting Policy Bulletin page.

AASB 16 Leases became effective on 1 July 2019 (transition date) for 30 June year-end reporters. Subsequent to the transition date, a lessee shall recognise a right-of-use asset and a lease liability at the lease commencement date for all leases, except for leases of short-term or low-value assets.

To calculate the present value of a lease liability, the interest rate implicit in the lease should be used in accordance with AASB 16.26, if that rate can be readily determined. If that rate cannot be readily determined, the lessee shall use the lessee’s incremental borrowing rate.

The incremental borrowing rate is defined as “the rate of interest that a lessee would have to pay to borrow over a similar term, and with a similar security, the funds necessary to obtain an asset of a similar value to the right of use asset in a similar economic environment.” [AASB 16 Appendix A].

Agencies, including State Owned Corporations (SOCs), that borrow from the market should use the rate they would expect to pay based on borrowings with a similar term.

The majority of agencies within the State, particularly in the General Government sector do not borrow funds in the market. Instead they receive appropriations from the Crown and where the Crown needs additional funding, Treasury Corporation (TCorp) will go to market to obtain these funds. Therefore, agencies that do not borrow from the market should use TCorp rates as their incremental borrowing rates.

TCorp rates for AASB 16 lease valuation purpose are updated bi-annually on 1 January and 1 July, unless a significant change has incurred during the intervals.

The latest TCorp rates for AASB 16 lease valuation were updated on 1 Jan 2025 (closing rates for 31 December 2024 used as 1 January is a public holiday) as below. Please use them for new leases (including replacement leases), applicable lease liability re-assessment and lease modifications from 1 Jan 2025 onwards until these rates are updated again in due course. For SOCs that use these rates, the Government Guarantee Fee (GGF) is required to be added to these issued rates.