1.8 Changes since last update
The changes to the Treasury Instructions since the previous version (10 July 2012) are summarised in the tables below. Substantive changes are included in the first table, changes to guidance material are provided in the second table and the final table summarises the technical and wording changes.
Key changes from the previous version of Treasury Instructions:
| Section reference | Section name | Change |
|---|---|---|
| 4.4.3 | Provision for return of operating surplus | Extended the time period for departments to request retention of operating surplus to two months following year-end (from three weeks) to better fit with the year-end audit process. |
| 5.1 | Disclosing cost accounting policies | The amendments to the Public Finance Act have changed the requirements for departments. |
| 6.3.7 | Memorandum accounts | Inserted an additional requirement that memorandum accounts must be monitored regularly (at least quarterly). |
Areas where guidance changed or additional guidance provided:
| Section reference | Section name | Change |
|---|---|---|
| 1.7 | Review of Treasury Instructions | Additional guidance related to the process for updating these Instructions and reinforcing the responsibility of the Chief Executive to use the latest version is used. |
| 2.3 | New Zealand Generally Accepted Accounting Practice (NZ GAAP) | NZ GAAP is well documented and fully referenced on the XRB website; we have removed instances of repetition of NZ GAAP from Treasury Instructions in favour of a direct link to the XRB website where this information can be found. |
| 4.4.1 | Property, plant and equipment | Additional guidance inserted about transferring assets within the Crown. |
| 4.3.2.1 | Insurance proceeds | Additional guidance on recognising insurance proceeds where claim has not been approved by insurer |
| 6.3.6 | Prohibition on investing, borrowing or lending | The amendments to the Public Finance Act inserted a definition of “lend money” which is now included in these Instructions. |
| 6.8.3 | Register of contingent liabilities | Additional guidance inserted about information to be included in registers as part of best practice. |
Other changes of a minor nature are summarised below:
| Section reference | Section name | Change |
|---|---|---|
| 1.3 | Purpose of Treasury Instructions | Guidance was moved into this new section (from last year's section 1.8 - Relationship between Treasury Instructions and Treasury Circulars). |
| 3.5.3 | Income | Minor wording edits |
| 3.5.9 | Property, plant and equipment | Minor wording edits |
| 3.5.12 | Intangible assets | Minor wording edits |
| 3.5.21 | Commitments | Added further GAAP references for completeness and made it explicit that cancellable disclosures relate only to Capital commitments |
| 4.2 | Particular accounting policies: general | The amendments to the Public Finance Act extended the meaning of a department. |
| 4.4.5 | Commitments | Specifically stated that these disclosures are required only for lease and capital commitments |
| 6.1 | Financial responsibility of Chief Executives | Correction made to state that additional guidance material is available on the Treasury website, rather than from Vote Analysts. Added a reference to section 35 of the Public Finance Act (inserted with the amendments to the Act), which details responsibilities of Chief Executives for non-departmental activity. |
| 6.2.1.2 | Non-departmental activity | Additional requirement that non-departmental schedules must materially comply with GAAP where possible |
| 6.4.3 | Asset devaluations | Minor wording edits |
| 6.4.4 | Restructuring expenses | Minor wording edits |
| 6.4.6 | Disclosure of other expenses | Minor wording edits |
| 6.5.7 | Provision of information to Treasury | Minor wording edits |
