General Information

Who is required to have their trust accounts audited?

The followingpeople must have their trust accounts audited if they received or held trust money during the financial year ending 30 June:

a licensee (corporation or individual)
a former licensee (corporation or individual), or
a personal representative of a licensee.

In most cases, it is the licensed corporation that receives and is responsible for trust funds. Therefore, a trust account audit must be effectuated by the licensed corporation.

However, if an individual licensee receives and is responsible for trust money, then a trust account audit must be effectuated by the individual licensee.

Who is required to submit an audit?

All trust account audits must be completed and submitted online by the auditor through the Auditor's Report Online portal.

When must the audit be submitted?

All audits must be submitted to the Secretary within 3 months after the end of the audit period and no later than 30 September.

Please note that all previously approved alternate audit periods are now rescinded.

If a trust account audit is not submitted by the due date, licensees could be disqualified from holding a licence and possibly prevented from renewing a licence.

Who can conduct the audit?

Auditors must be registered with the Australian Securities and Investments Commission (ASIC) or be qualified under section 115 of the Property Stock and Business Agents Act 2002.

Registered audit companies, authorised company auditors and members of a Professional Accounting Body holding a Public Practising Certificate or Certificate of Public Practice can conduct the audit.

Professional Accounting Body is defined under the Australian Securities and Investments Commission Act 2001 e.g. CPA Australia, the Institute of Chartered Accountants of Australia and the National Institute ofAccountants.

If no trust money held during audit period

Licensees, whether a licensed corporation or an individual licensee, no longer need to lodge a statutory declaration with NSW Fair Trading if they have not held any trust money during the audit period.

Licensees who have not held any trust money during the year preceding their licencerenewal date are required to indicate this on their licence renewal form.

Key details:

Audit Period:1 July to 30 June

Audit Due Date:30 September

Audit Report submitted to:The auditor must lodge all audit results with Fair Trading.