AUDIT RISK FILE

Information

Planning

1. PLANNING

Is the Reviewer independent of the Association and qualified to perform this review?
Have you determined those responsible for the preparation of the financial report? Enter their names here,
Have you determined under which Regulatory authority the review is being conducted and noted same here?
Have you considered the major risks of fraud for this client, in particular .. All cash receipts are not recorded .. Cash takings are not promptly banked .. Expenditures are not properly authorised .. GST is incorrectly claimed on input taxed services
All cash receipts are not recorded .. Cash takings are not promptly banked .. Expenditures are not properly authorised .. GST is incorrectly claimed on input taxed services

Entity Risk 1

Risk 1: The general nature of the entity is a source of risk
Possible sources of risk include the nature of the industry, the type of activities are risky, the economic locality is unstable, media, government scrutiny or type of product is vulnerable
Describe the general nature of the entity, the industry in which it operates and it's general reputation.
Rate the level of this risk
Is an audit response required to this risk?
Describe audit response

Cash Receipts

Does the Association issue receipts for every donation received?
Have fund raising receipts and expenditures been properly accounted for by a responsible person?
Have all receipts been banked intact?
Have all receipts issued been accounted for?
Has each receipt been properly dissected and recorded in the financial records?
Has GST been collected on any commercial lettings of premises?
Has a detailed review of selected fund raising been performed, if yes, note the details of the event and any matters of interest..

Cash Payments

Review the cash expenditures for the whole year; have all large and or unusual items been adequately explained, and supporting documentation sighted and scanned?
Has a detailed review of payments been performed, note the sample size and scan supporting documentation
Is there evidence of proper approval for each payment?
Has GST been properly recorded and claimed?
Has the expenditure been correctly allocated in the financial records?
Have you reviewed GST claimed and ensured no GST claimed on residential property or overseas travel?

Employment Records

Are staff being paid correctly approved rates
Do fringe benefit arrangements comply with FBT legislation and association policies?
Has employee withholding tax been correctly calculated and promptly remitted to the ATO?
Have assessments for workers compensation, superannuation and other benefits been correctly determined and promptly remitted to relevant authorities?
Have BAS returns been prepared in accordance with financial records and lodged promptly?
Have you reviewed the Integrated Client Account for timely lodgment of BAS returns and any refunds that may be due?

Treasury Oversight

Have you reviewed the approved minutes of all meetings for the year and noted any significant financial decisions?
Do minutes of meetings evidence proper oversight of financial affairs and approval of expenditures?
Have all points raised by the prior year review been adequately addressed by TCWG?

Financial Report

Does the financial report agree with the financial records?
Do prior year comparative figures agree with prior year reports?
Do the classification of income and expense items comply with association reporting guidelines and policies?
Are the additions of the report correct?
Have all items been correctly and fully disclosed in the reports, especially any trust monies?
Have all errors and recommendations been documented and reported to TCWG?
Are you satisfied that the financial report is accurate and an assurance statement can be issued?
Signature of reviewer