Minister of Commerce, and Minister for the Community and Voluntary Sector, have issued a news release outlining some changes to registered charities’ financial reporting.
The changes mean charities with large expenditures will have to have their financial statements reviewed or audited.
Charities with lower levels of expenditure can – if they choose – decide to have their financial statements reviewed or audited, or do neither, and submit unreviewed, unaudited accounts.
Charities with annual expenditure of $500,000 or more will be required to have their financial statements reviewed by a qualified accountant.
Charities with annual expenditure over $1 million will be required to have their financial statements audited.
These changes will improve the quality of financial reporting among charities and result in greater confidence that financial statements are reliable.