Objectives of the Independent Parliamentary Expenses Authority
The Independent Parliamentary Expenses Authority (IPEA) is an Australian Government controlled entity. It is a not-for-profit entity. The objective of IPEA is to administer and advise on travel related work expenses, and provide independent oversight of the work expenses administered by the Department of Finance for current and former Parliamentarians and their staff through its auditing and reporting functions.
IPEA was established as a statutory authority by the Independent Parliamentary Expenses Authority Act 2017 (IPEA Act) on 1 July 2017. These financial statements are for the period 1 July 2019 to 30 June 2020.
The continued existence of IPEA in its present form and with its present programs is dependent on Government policy and on continuing funding by Parliament for IPEA's administration and programs.
IPEA is structured to meet the following outcome:
Outcome 1: Support for current and former Parliamentarians and others as required by the Australian Government through the delivery of, independent oversight and advice on, work resources and travel resources.
IPEA activities contributing toward these outcomes are classified as either departmental or administered. Departmental activities involve the use of assets, liabilities, income and expenses controlled or incurred by IPEA in its own right. Administered activities involve the management or oversight by IPEA, on behalf of the Government, of items controlled or incurred by the Government.
IPEA conducts the following activities on behalf of the Government:
- Advising parliamentarians on travel expenses, allowances, and related expenses;
- Monitoring parliamentarians' use of travel expenses, allowances, and related expenses;
- Administering travel expenses, allowances, and related expenses, including processing of these claims;
- Reporting on work expenses under the existing parliamentary work expenses framework;
- Auditing of work expenses under the existing parliamentary work expenses framework; and
- Making rulings about travel expenses and allowances, where authorised by a law to do so.
The Basis of Preparation
The financial statements are general purpose financial statements and are required by section 42 of the Public Governance, Performance and Accountability Act 2013.
The financial statements have been prepared in accordance with:
a) Public Governance, Performance and Accountability (Financial Reporting) Rule 2015 (FRR); and
b) Australian Accounting Standards and Interpretations – Reduced Disclosure Requirements issued by the Australian Accounting Standards Board (AASB) that apply for the reporting period.
The financial statements have been prepared on an accrual basis and in accordance with the historical cost convention, except for certain assets and liabilities at fair value. Except where stated, no allowance is made for the effect of changing prices on the results or the financial position. The financial statements are presented in Australian dollars.
New Accounting Standards
All new or revised standards and/or interpretations that were issued prior to the sign-off date and are applicable to the current reporting period did not have a material effect on the entity’s financial statements.
IPEA is exempt from all forms of taxation except Fringe Benefits Tax (FBT) and the Goods and Services Tax (GST).
Reporting of Administered activities
Administered revenues, expenses, assets, liabilities and cash flows are disclosed in the administered schedules and related notes.
Except where otherwise stated, administered items are accounted for on the same basis and using the same policies as for departmental items, including the application of Australian Accounting Standards.
Events After the Reporting Period
There were no events following the reporting period that impact on IPEA's financial statements for the period ended 30 June 2020.