Reminder to Submit Trust Account Audit Reports Before the Deadline - 31 August 2024
Business property practitioners without trust account exemption letters, and who marked their financial year end on 29 February 2024, must submit the audit reports of trust accounts to the Property Practitioners Regulatory Authority (PPRA) by 31 August 2024. These reports must be submitted by the auditors who are registered as assurance with the Independent Regulatory Board for Auditors (IRBA) are qualified to audit these trust accounts.
Submission Process and Guidelines
Note that only auditors and submit the required reports.
Audit reports must be submitted through the MyPPRA Auditors Portal accessible via the PPRA website.
The audit reports should adhere to specific formatting guidelines. Auditors are required to use the illustrative audit report templates published by IRBA in March 2023. Auditors for Payment Processing Agents need to complete all three templates available on the IRBA website, whereas other auditors should complete only the first template.
Furthermore, auditors must upload signed PDF copies of the trust account audit reports on the audit firm's letterhead during the online submission process.
Penalties for Non-compliance
The PPRA has outlined stringent penalties for late submissions:
Daily Penalty: A late submission penalty of R20 per day will be imposed for the first three months past the deadline.
Additional Fine: If the trust account audit report is not submitted by 30 November 2024, an additional fine of R25,000 will be levied by the PPRA Inspections Department.
These measures underscore the PPRA’s commitment to enforcing compliance through strict regulations and penalties, as outlined in section 54(6) of the PPA and Regulation 38 of the Property Practitioners Regulations (PPR).
What Property Practitioners Must Do
Principals of business property practitioners are advised to bring this communication to the attention of their auditors promptly to avoid the penalties associated with non-compliance. For further details, practitioners and auditors can refer to the detailed 'Guidelines on Audit, Accounting Records and Trust Accounts for Business Property Practitioners' and the FAQ section available on the PPRA website.
Enquiries
For any questions or further clarification, property practitioners and auditors are encouraged to contact the PPRA Audit Compliance Department directly at audit@theppra.org.za.
