Intercompany transactions in Australian groups must be eliminated for consolidated reporting and documented for ATO transfer pricing compliance. BrizoConsol automates both across your MYOB AccountRight and MYOB Business company files.
Every transaction between entities within your group — if left unadjusted — overstates group revenue, costs, and balances. The overstatement is silent and grows with every intercompany trade.
AASB 124 (Related Party Disclosures) requires disclosure of all material related party transactions in Australian financial statements. ASIC specifically reviews intercompany transaction disclosures in consolidated accounts.
Intercompany eliminations are not one-size-fits-all. Each transaction type involves different accounts and different elimination logic. BrizoConsol handles all of them.
When one group entity sells goods or services to another, the seller records revenue and the buyer records a cost. Both must be eliminated — group revenue is reduced by the intercompany sales figure, and the corresponding cost is removed simultaneously.
When one entity lends money to another within the group, one side shows a receivable and the other shows a payable. Both must be eliminated so the group balance sheet does not include an asset and liability that cancel each other out.
Management fees, IT charges, shared service allocations, and head office overhead recharged from a parent to subsidiaries create intercompany income in the parent and intercompany expense in the subsidiary — both must be eliminated from the group P&L.
When a subsidiary pays a dividend to its parent, the parent records dividend income. That income must be eliminated from the group P&L — the dividend is a transfer of existing group equity, not new income generated from external sources.
When one entity sells a fixed asset to another within the group, any profit on the transfer is unrealised from the group's perspective — the asset is still within the group. The gain must be eliminated and the asset restated at its original cost to the group.
The parent's cost of investment in each subsidiary is eliminated against the subsidiary's share capital and pre-acquisition reserves. This elimination establishes goodwill (or negative goodwill) at acquisition date and is a foundational step in every consolidation.
BrizoConsol's elimination engine runs automatically on every consolidation. Here is exactly what it does.
BrizoConsol pulls the general ledger from every connected MYOB company file nightly via OAuth — supporting AccountRight and MYOB Business files in the same consolidation run. All transactions — including those in intercompany accounts — are available for matching and elimination.
Runs automatically · Nightly syncBrizoConsol identifies intercompany transactions using accounts you flag as intercompany during setup, and by matching account codes that appear on both sides of an entity relationship. No manual cross-referencing of each period's transactions is needed.
Auto-detect + account-code matchingMatched intercompany pairs are eliminated automatically. Any transaction where the two sides don't reconcile — different amounts, missing counterpart — is flagged in the elimination review dashboard before the consolidation is finalised, so you can investigate and correct before the report is produced.
Mismatch alerts before finalisationEvery elimination — automatic or manual — is logged with the originating entities, account codes, amounts, and basis of elimination. The audit trail is permanent, exportable, and presented alongside the consolidated statements for reviewer sign-off.
IFRS 10 · ASC 810 · Auditor-readyAustralian groups preparing consolidated financial statements must comply with AASB 10 Consolidated Financial Statements — the Australian equivalent of IFRS 10 — alongside ASIC reporting obligations under the Corporations Act 2001. BrizoConsol automates AASB 10-compliant consolidation for groups using MYOB, including intercompany eliminations, FCTR calculation under AASB 121, and NCI attribution.
AASB 10 requires an Australian parent entity to present consolidated financial statements combining its own financials with those of all controlled subsidiaries. BrizoConsol applies AASB 10-compliant consolidation logic — including full intercompany elimination and NCI calculation — automatically each period your MYOB companies close.
When an Australian group has foreign subsidiaries — in New Zealand, Singapore, the UK, or elsewhere — AASB 121 governs how those entities' financials are translated. BrizoConsol applies closing rates to Balance Sheet items and average rates to P&L items, and calculates the Foreign Currency Translation Reserve (FCTR) automatically.
Australian public companies and large proprietary companies must lodge consolidated financial statements with ASIC under Chapter 2M of the Corporations Act 2001. BrizoConsol produces audit-ready consolidated statements — with a full elimination audit trail — that can be handed directly to your auditors for ASIC lodgement.
Australian groups typically include AUD-based Australian entities, NZD-based New Zealand subsidiaries, and operations in Singapore, the UK, or the UAE. Many use MYOB in Australia alongside other platforms in overseas entities. BrizoConsol consolidates across MYOB and all connected platforms in a single run — AUD, NZD, SGD, GBP, and more.