Changes to financial standards and requirements for reporting

The next stage of changes to financial standards and requirements for reporting have been released.

These changes are part of new comprehensive systems designed to create mandatory financial standards and reporting for all organisations, including community organisations. Two announcements have been made:

Financial Reporting Bill introduced to Parliament

This is the legislation which lays out the framework for reporting, and will have major impacts for all community organisations.

The closing date for submissions to the Commerce Committee is 18 January, and the Committee has to report back to Parliament by 28 May.

Given the short notice and summer break, the Committee Clerk has been asked to consider late submissions.

We canvassed the issues in a submissions to earlier discussion papers about the levels at which tiers for reporting should be set, and the timeframe required for adoption of new requirements.

We will be picking these up again in relation to the Bill and circulate some pointers for submissions prior to our submission to this Bill.

Read the Bill

Simple format reporting for not-for-profit organisations

The External Standards Board have issued a package of proposed reporting standards for smaller-sized organisations (those with annual expenditure of less than $2 million).

They will be running a number of seminars to present and discuss these requirements in March through to April, for submission by 18 June 2013 .

We welcome this lead-in time as essential for widespread understanding and discussion of the proposed changes and format.

Again, we have made submissions on these issues at earlier opportunities, and will collate some points for consideration when details of the seminar series are available.

Read the Report

Source: Social Development Partners