It currently seems likely we will reach a significant annual revenue milestone at the very beginning of next financial year, if not at the end of our current financial year. When "total revenue as recorded in the income and expenditure statement (i.e. gross receipts) for a financial year is more than $250,000 (excluding GST) or current assets are more than $500,000" we become a Tier 1 incorporated association - and this has some significant impacts on our financial and regulatory reporting requirements.
In brief we will need:
- To demonstrate our accounting practices align with relevant Australian Accounting Standards
- To have our financial statements and supporting records independently audited.
You can read about the Tier 1 status and accompanying requirements on the NSW Department of Fair Trading website.
To ensure we are prepared for this transition the Committee is moving to obtain an independent review of our accounting practices and related advice from an appropriate accounting and auditing firm in time to put any changes in place before the next financial year.
