✨ Financial Statements and Notes
NEW ZEALAND GAZETTE, No. 69
3 APRIL 2008
Q. Grants
Grants are recognised when they are approved by the trustees. Unpaid grants are recorded as a liability.
R. Goods and Services Tax
The parent is not registered for goods and services tax. The parent financial statements are prepared using GST inclusive accounting. The subsidiary of Invest South Limited Group is registered for GST and all assets and liabilities have been stated exclusive of GST with the exception of receivables and payables which are stated inclusive of GST.
S. Income Taxation
From 1 April 2004, section CB4(1)(m) of the Income Tax Act 1994, exempts the trust from income tax. Invest South Limited Group follows the income taxes payable method for accounting for income tax.
T. Statement of Cash Flows
Operating cash flows includes interest and dividends paid or credited to investment funds under management. Cash movements in funds invested are recognised in investing activities.
U. Inventories
Stock and work in progress are stated at the lower of cost and net realisable value. Cost is determined on a first in, first out basis (or weighted average cost method).
V. Changes in Accounting Policies
Non Current Grants Committed but not Paid
The group has changed its accounting policy for non-current grants committed but not paid to comply with FRS-15: Provisions, Contingent Liabilities and Contingent Assets.
Grants Recognised as an Expense
The group has changed its accounting policy for treatment of grants. In the current year they are recognised as an expense, instead of as a distribution. This is consistent with the statement of concepts.
Other Changes
With the exception of the above changes in accounting policies, accounting policies have been applied on a consistent basis with those to the previous year.
W. Changes to Comparatives
Certain comparatives have been changed to give a more meaningful comparison.
Notes to the Financial Statements for the Year Ended 31 March 2007
1. Operating Revenue
| Note | 2007 Group | 2006 Group | 2007 Parent | 2006 Parent |
|---|---|---|---|---|
| Bad debts recovered | (113,594) | 48,249 | – | |
| Change in value of investments | (685,612) | 28,711,436 | (685,612) | |
| Depreciation recovered | – | 68,488 | – | |
| Dividends and distributions | 5,111,039 | 6,435,932 | 5,087,335 | |
| Interest received | 3,969,857 | 3,019,334 | 3,270,261 | |
| Lease income | – | 4,083 | – | |
| Other revenue | 27,890 | 41,473 | – | |
| Share of associates’ earnings | 21,300 | 8,807 | – | |
| Total | 8,330,880 | 38,337,802 | 7,671,984 |
2. Expenditure
| Note | 2007 Group | 2006 Group | 2007 Parent | 2006 Parent |
|---|---|---|---|---|
| 3 | Audit fees | 36,547 | 26,973 | 32,047 |
| Communications | 32,982 | 33,749 | 17,566 | |
| Depreciation | 67,407 | 73,835 | 66,240 | |
| Directors’ fees | 57,500 | 70,000 | – | |
| Loss/(gain) on disposal of property, plant and equipment | (4,500) | 158 | (4,500) | |
| Fund manager fees | 955,755 | 892,103 | 955,755 | |
| General expenses | 117,116 | 119,093 | 72,150 | |
| Insurance | 23,232 | 20,238 | 17,244 | |
| Interest | 79 | 91 | – | |
| Occupancy costs | 23,759 | 23,817 | 23,759 | |
| Office expenses | 27,308 | 22,218 | 27,308 | |
| 4 | Professional fees | 165,639 | 177,838 | 120,882 |
| Promotion, reporting and compliance expenses | 127,806 | 76,582 | 109,566 | |
| Rent | – | – | – | |
| Salaries and staff costs | 465,766 | 396,521 | 323,212 | |
| 5 | Trustees’ fees | 201,433 | 204,876 | 201,433 |
| Vehicle expenses | 27,285 | 20,645 | 27,285 | |
| Total | 2,325,114 | 2,158,737 | 1,989,947 |
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Online Sources for this page:
VUW Te Waharoa —
NZ Gazette 2008, No 69
Gazette.govt.nz —
NZ Gazette 2008, No 69
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Financial Performance Statement of The Community Trust of Southland
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💰 Finance & RevenueFinancial Performance, Community Trust, Southland, Investment, Cash Flows, Accounting Policies