Net cost of services vs profit or loss Where not restricted by AAS, all references to the AASB's 'Profit or Loss' have been replaced by 'Net Cost of Services' (or 'surplus or deficit') in PRIMA to better reflect the operating environment and reporting format adopted by not-for-profit Commonwealth entities. For-profit Commonwealth entities need to adjust the disclosure to reflect their circumstances. Part B Definitions and Abbreviations Overview Part B defines key and used throughout this document. Definitions (definitions with bold text have also been defined in section 5 of the FRR) Accountable Authority Each Commonwealth reporting entity has an accountable authority as defined in section 12 of the PGPA Act. Administrative Arrangements Order (AAO) The AAO, issued from time to time by the Governor-General, establishes the matters to be dealt with by each Department of State, and the Acts of Parliament to be administered by each Minister. Administered Investments An administered investment is defined for the purpose of this guide as an interest by the Australian Government in a subsidiary, associate or joint operation or joint venture that is disclosed in the financial statements of an entity on behalf of the Australian Government. Administered Those items that an entity does not control but over which it has management responsibility on behalf of the Government and which are subject to prescriptive rules or conditions established by legislation, or Australian Government policy, in order to achieve Australian Government outcomes. Typical examples include taxes, levies and fines plus grants, subsidies and personal benefit payments. to (Departmental and Administered: Classification and Reporting) for further information. Appropriation For the purposes of this guide, an authority under any Act or law to draw money from the Consolidated Revenue Fund (CRF), whether or not the law concerned used the word appropriation or appropriated. Australian Accounting Standards (AAS) AAS are released by the (AASB).
When applying AASB 1053 Application of Tiers of Australian Accounting Standards in preparation of financial statements, all reporting entities must apply Tier 1 reporting requirements. Information not reported in an entity’s financial statements but required as part of the Australian Government consolidated financial statements must be made available to the Department of Finance at the time and in the format requested. Early adoption of accounting pronouncements A reporting entity must have approval from the accountable authority of the Department of Finance if they wish to an AAS or AASB Interpretation earlier than its effective date of application other than as permitted or required by this rule. (2) The accountable authority of the Department of Finance may instruct one or more entities to adopt an AAS or AASB Interpretation. Application of Tiers As per subsection 18(2) of the FRR, entities must make available to the Department of Finance any information that is not reported in their financial statements but is required for the purpose of preparing the Australian Government consolidated financial statements. For example, additional information may be requested through a supplementary reporting pack. Entities are required to ensure that, where directed, any additional information that is provided has first been subject to a quality assurance process including similar governance processes adopted for preparing entity financial statements. Early adoption Entities must seek approval from the accountable authority of the Department of Finance for early adoption of a new AAS or AASB Interpretation due to the potential effect on the preparation of the CFS. AASB 2015-7 Amendments to Australian Accounting Standards – Fair Value Disclosures of Not-for-Profit Public Sector Entities amends AASB 13 Fair Value Measurement (paragraph Aus 93.1) to provide relief from some disclosures relating to assets held by not-for-profit public sector entities that are measured at fair value and held primarily for internal or policy use, rather than to earn revenue. Entities are allowed to early adopt the amendments for reporting periods ending on or after 30 June 2015. Rounding Off General rounding rules Subject to the exceptions listed at paragraphs 3 and 4 below, amounts in the financial statements may be rounded off as follows: to the nearest dollar; where a reporting entity has assets, liabilities, expenses, income, commitments or contingencies in excess of $10 million, to the nearest $1,000, or if less than $500, rounded to zero; or
Australian Crime Commission Australian Electoral Commission Australian Federal Police Australian Institute of Criminology Australian Institute of Family Studies Australian Law Reform Commission Australian National Audit Office Australian Office of Financial Management Australian Radiation Protection and Nuclear Safety Agency Australian Research Council Australian Secret Intelligence Service Australian Securities and Investments Commission (also has body corporate status) Australian Security Intelligence Organisation Australian Sports Anti-Doping Authority Australian Taxation Office Australian Trade Commission Australian Transaction Reports and Analysis Centre Australian Transport Safety Bureau Cancer Australia Clean Energy Regulator Climate Change Authority Commonwealth Grants Commission Department of Communications Department of Education Department of Employment Department of Immigration and Border Protection Department of Infrastructure and Regional Development Department of Parliamentary Services Geoscience Australia Barrier Reef Marine Park Authority High Court of Australia Inspector General of Taxation National Archives of Australia National Capital Authority National Competition Council National Health and Medical Research Council National Mental Health Commission National Native Title Tribunal Office of National Assessments Office of the Auditing and Assurance Standards Board Office of the Australian Accounting Standards Board Office of the Australian Information Commissioner Office of the Commonwealth Ombudsman Office of the Director of Public Prosecutions Office of the Fair Work Building Industry Inspectorate Office of the Fair Work Ombudsman Office of the Inspector General of Intelligence and Security Office of the Official Secretary to the Governor-General Office of the Parliamentary Counsel Old Parliament Productivity Commission Professional Services Review Scheme Safe Work Australia Tertiary Education Quality and Standards Agency Workplace Gender Equality Agency