4. Assets and Liabilities Administered on Behalf of Government
This section analyses assets used to conduct operations and the operating liabilities incurred as a result the Australian Financial Security Authority does not control but administers on behalf of the Government. Unless otherwise noted, the accounting policies adopted are consistent with those applied for departmental reporting.
4.1. Administered - Financial Assets
2020 $'000 | 2019 $'000 | |
|---|---|---|
Confiscated Assets Special Account | 1 | 9 |
Confiscated Assets Account | 128,099 | 144,940 |
AFSA Administered bank account | - | 4 |
Common Investment Fund Equalisation account | 101 | 149 |
Total cash and cash equivalents | 128,201 | 145,102 |
Cash and cash equivalents as stated above excludes AFSA Administered bank account clearing amounts which are disclosed as other payables. The closing balance of Cash in special accounts does not include amounts held in trust: $171,372 in 2020 and $149,310 in 2019]. See note 5.2 Special Accounts and note 8.2 Assets Held in Trust for more information. | ||
2020 $'000 | 2019 $'000 | |
|---|---|---|
Annual Administration Returns | 17,079 | 17,390 |
Total taxation receivables (gross) | 17,079 | 17,390 |
Less: Impairment allowance | - | (3) |
Total taxation receivables (net) | 17,079 | 17,387 |
2020 $'000 | 2019 $'000 | |
|---|---|---|
Pecuniary Penalty Orders | 25,309 | 26,849 |
Forfeiture Orders | 12,525 | 23,439 |
Official Trustee fees | 2,378 | 2,106 |
Online service fees | 601 | 394 |
Other | 164 | 176 |
Total other receivables (gross) | 40,977 | 52,964 |
Less: impairment loss allowance | (25,436) | (12,157) |
Total other receivables (net) | 15,541 | 40,807 |
Movements in relation to 2020 | Taxation receivables | Other receivables | Total |
|---|---|---|---|
$'000 | $'000 | $'000 | |
As at 1 July 2019 | (3) | (12,157) | (12,160) |
Amounts written off | 3 | 134 | 137 |
Amounts recovered and reversed | - | 5 | 5 |
(Decrease) recognised in net cost of services | - | (13,418) | (13,418) |
Total as at 30 June 2020 | - | (25,436) | (25,436) |
Movements in relation to 2019 | Taxation receivables | Other receivables | Total |
$'000 | $'000 | $'000 | |
As at 1 July 2018 | (3) | (12,139) | (12,142) |
Amounts written off | - | 140 | 140 |
Amounts recovered and reversed | - | 6 | 6 |
(Decrease) recognised in net cost of services | - | (164) | (164) |
Total as at 30 June 2019 | (3) | (12,157) | (12,160) |
Accounting Policy Pecuniary Penalty Orders The value of PPOs due and owing to the Commonwealth at 30 June 2020 are disclosed as administered assets. AFSA is responsible for realisation of associated assets and debt management. Decisions on debt recovery action are the responsibility of Commonwealth Director of Public Prosecutions (CDPP) and the Australian Federal Police (AFP). Official Trustee Fees Official Trustee fees receivable are calculated with reference to funds balances in the Official Trustee body corporate accounts at financial year end. Accounting Judgements and Estimates Pecuniary Penalty Orders Collectability is reviewed at the end of the reporting period with reference to the status of recovery action by CDPP and AFP. Impairment allowances are made when collectability of the debt is judged to be less, rather than more, likely based on availability of assets for realisation and application to the debt, as then confirmed with the CDPP or AFP respectively. A bad debt is recognised when no further recovery action will be undertaken by CDPP or AFP and they inform AFSA that they are closing their files. Forfeiture Order Forfeiture Order receivables are based on an assessment of the cash balances held in the forfeited bank account at financial year end (see Note 8.2) where amounts are identified as considered likely to be paid to the Confiscated Assets Account. | |||
4.2. Administered - Payables
2020 $'000 | 2019 $'000 | |
|---|---|---|
Accrued Expenses | 352 | - |
Other Payables | 14 | 53 |
Total other payables | 366 | 53 |
Visit
https://www.transparency.gov.au/annual-reports/australian-financial-security-authority/reporting-year/2019-20-23