Singapore legislation
Regulation 4
Regulation 4
Accounting Standards
Subregulation 1
Subject to paragraph (2), the governing board members of any charity of a class specified in the first column of the First Schedule shall, in respect of each financial year of the charity beginning on or after the corresponding date specified in the second column of that Schedule, prepare financial statements that —
comply with —
the Charities Accounting Standard; or
the Financial Reporting Standards, subject to any requirements or modifications stated in the Second Schedule; and
give a true and fair view of the financial transactions and the state of affairs of the charity as at the end of the period to which they relate.
Subregulation 2
Notwithstanding paragraph (1), the governing board members of any charity of a class specified in the first column of the First Schedule that holds significant investments in any subsidiary, associate or joint venture of the charity that is not a charity shall, in respect of each financial year of the charity beginning on or after the corresponding date specified in the second column of that Schedule, prepare financial statements that —
comply with the Financial Reporting Standards, subject to any requirements or modifications stated in the Second Schedule; and
give a true and fair view of the financial transactions and the state of affairs of the charity as at the end of the period to which they relate.
Subregulation 3
Where the financial statements prepared in accordance with the requirements under paragraph (1)(a) or (2)(a), as the case may be, would not give a true and fair view of the financial transactions and the state of affairs of the charity as at the end of the period to which they relate, the financial statements need not comply with those requirements to the extent that the non-compliance is necessary for the financial statements to give a true and fair view of the financial transactions and the state of affairs of the charity.
Subregulation 4
In the event that any financial statements do not comply with any of the requirements under paragraph (1)(a) or (2)(a), as the case may be, the auditor of the charity shall include in his report on his audit of the accounts of the charity —
a statement that he agrees that such non-compliance is necessary for the financial statements to give a true and fair view of the financial transactions and the state of affairs of the charity;
particulars of the non-compliance, the reasons therefor and the effect, if any, of the non-compliance; and
such further information and explanations as will give a true and fair view of the financial transactions and the state of affairs of the charity.
Subregulation 5
The financial statements of a charity need not comply with any requirement under paragraph (1)(a) or (2)(a), as the case may be, if —
the Commissioner has given his approval for such non-compliance; and
the financial statements comply with any other requirements that the Commissioner may specify.
Subregulation 6
The relevant requirements under these Regulations shall apply to the financial statements of a charity which is a company in place of any requirement in section 201 of the Companies Act 1967 for the accounts or consolidated accounts of a company to be in compliance with the Financial Reporting Standards if —
the financial statements are for a financial year beginning on or after 1st July 2011; or
notwithstanding that the financial statements are for a financial year beginning before 1st July 2011, the financial statements of the charity in fact comply with the relevant requirements under these Regulations.
Subregulation 7
For the purposes of paragraph (6), “relevant requirements under these Regulations” —
in relation to a company to which paragraph (1) applies, means the requirements of paragraph (1)(a); or
in relation to a company to which paragraph (2) applies, means the requirements of paragraph (2)(a).
Subregulation 8
Subject to paragraph (9), if the requirements under paragraph (1) would apply to a charity during any part of the financial year of the charity, those requirements shall apply to the charity in respect of the whole of that financial year.
Subregulation 9
If the requirements under paragraph (2) would apply to a charity during any part of the financial year of the charity, those requirements shall apply to the charity in respect of the whole of that financial year.
Subregulation 10
This regulation shall not apply to —
statutory bodies listed in the Schedule to the Accounting Standards Act 2007; or
educational institutions specified in the Third Schedule.
Subregulation 11
The reference to a charity with significant investments in any subsidiary, associate or joint venture in paragraph (2) shall be construed to have the same meaning as in the Charities Accounting Standard.