Consistent Basic Financial Reporting for the Not-For-Profit Sector

In April 2010, the Council of Australian Governments endorsed a national standard chart of accounts (SCOA) for the not-for-profit sector. The endorsement followed COAG’s decision to introduce a national SCOA in December 2009. Through the first quarter of 2010, the Better Regulation Office consulted on a proposed SCOA with government agencies and the not-for-profit sector.

The national SCOA will be used to guide the way that all state and federal government agencies ask not-for-profit groups to report basic financial information. Adoption of the SCOA by not-for-profit groups will be voluntary, but will allow those that report to more than one government funder to keep one set of financial information to satisfy all their financial reporting requirements. The changes will harmonise reporting requests for grants awarded after 1 July 2010, saving non-profits time and money and reducing regulatory burden.

The agreed national SCOA is available on the Queensland University of Technology’s website. The first stage of the SCOA has state variations because of different fundraising and gaming laws. These variations will be resolved in 2012.