Financial Statements Notes




NEW ZEALAND GAZETTE

No. 79

Notes to Financial Statements

1. Statement of Accounting Policies

Reporting Entity

TSB Community Trust is a charitable trust formed by a trust deed dated 30 May 1988. The financial statements are a general purpose report which has been prepared in accordance with generally accepted accounting practice as required by clause 17 of the trust deed.

Measurement Base

The measurement base is that of historical cost.

Specific Accounting Policies

The following specific accounting policies which materially affect the measurement of financial performance and financial position have been applied.

Investments

The TSB Bank Limited shares are stated at par value when gifted:

20,000,000 fully paid shares at 50 cents $10,000,000

The net asset backing at 31 March 1998 was $3.20 per share.

Fixed Assets

Fixed assets are recorded at cost, office equipment will be depreciated on a straight line basis over 4 years.

Income Tax

Income tax will include the current year's provision and the tax effect of timing differences using the liability method. Timing differences will be accounted for applying the comprehensive basis.

Differential Reporting

The trust qualifies for differential reporting as it is not large as defined in the framework for differential reporting. The trust has taken advantage of all differential reporting exemptions except those in respect of FRS.10: statement of cash flows.

Goods and Services Tax

The financial statements have been prepared on a G.S.T. inclusive basis.

Changes in Accounting Policies

There have been no changes in accounting policies. All policies have been applied on bases consistent with those used in the previous years.

2. Dividend

The dividend includes $800,000 relating to the final instalment received from the bank for year ended 31 March 1997 and $400,000 interim dividend for the year ended 31 March 1998.

3. Commitments and Contingent Liabilities

At balance date $8,900 has been approved for donations in the 1998/1999 financial year (1997: $26,000). In addition the trust has pledged a further $10,000 contingent upon the applicant completing certain requirements set by the trust.

4. Publishing Requirements

A comprehensive list, itemising all recipients was published in the Taranaki Daily News on the following dates:

First round ... 12/8/97
Second round ... 6/12/97
Third round ... 23/4/98

A copy of the list of grants is available to anyone upon request (P.O. Box 31, Oakura, Taranaki).

5. Fixed Assets

1998 $ 1997 $
Office equipment at cost 12,389.00 12,389.00
Accumulated depreciation 12,389.00 10,122.00
$2,267.00

6. Income Tax

There are taxation losses amounting to $120,688 (1997: $119,918) available to carry forward and set off against future assessable income.

7. Reconciliation of Net Surplus With Net Cash Flows From Operating Activities:

1998 $ 1997 $
Net surplus 8,767 65,395
Add/(less) depreciation 2,267 3,097
Movements in working capital items—
(Increase)/decrease in receivables 3,718 (7,013)


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💰 TSB Community Trust Statement of Movements in Equity for the Year Ended 31 March 1998 (continued from previous page)

💰 Finance & Revenue
Movements in Equity, Retained Surplus, Revenues, Expenses, TSB Community Trust