Part Part A - Financial Sector (Collection of Data) (reporting standard) determination No. 36 of 2006 - Reporting Standard ARS 332.0 - Statement of Economic Activity - : Selected expenses | Zoe
Financial Sector (Collection of Data) (reporting standard) determination No. 36 of 2006 - Reporting Standard ARS 332.0 - Statement of Economic Activity
Part A: Selected expenses
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Turn the raw legal text into a practical explanation grounded in Financial Sector (Collection of Data) (reporting standard) determination No. 36 of 2006 - Reporting Standard ARS 332.0 - Statement of Economic Activity.
Expenses incurred for the picking up, transport, and delivery (domestic or international) of addressed or unaddressed mail, packages and parcels.
Include:
postage stamps;
mailbox rental services;
customised express pick up and delivery services; and
messenger services.
Exclude:
storage (where this expense can be distinguished from courier expenses).
Telecommunication charges
Telecommunication services are all payments (of a non-capital nature) for telecommunication services which engage wire, cable or radio transmission.
Include:
telephone charges;
facsimile charges;
internet charges; and
cost of leased lines for computers and internet services.
Exclude:
installation costs.
Insurance premiums other than workers' compensation
Include:
optional third party and comprehensive motor vehicle insurance premiums;
fire, general, accident and public liability premiums; and
professional indemnity insurance premiums.
Exclude:
workers’ compensation insurance premiums/levies (report to Workers' compensation premiums/costs in ARF 331.0 Selected Revenues and Expenses (ARF 331.0)); and
compulsory third party motor vehicle insurance premiums.
Legal expenses
Legal expenses are fees incurred when a business secures the services of a legal representative, or requires legal representation, or seeks professional advice on legal matters.
Audit and other accounting services
Audit and other accounting expenses are the costs incurred for the professional advice and skills of an auditor or accountant.
Include:
cost of producing annual or sub-annual financial reports;
preparing other financial accounts;
auditing services; and
carrying out other accounting services.
Advertising expenses
Advertising expenses are the costs incurred by a business for promotional and publicity campaigns aimed at bringing the activities of the business to the attention of consumers for the purpose of increasing sales.
Exclude:
in-house costs (e.g. wages and salaries of own advertising staff); and
sponsorship expenses.
Paper, printing and stationery
Paper, printing and stationery expenses are costs incurred for office supplies and printing carried out by or for the business.
Include:
all office stationery; and
production of financial reports, etc.
Data processing services provided by other businesses
Payments for data processing services provided by other businesses. Data processing services relate to the transformation of data into a suitable output.
Include:
expenses incurred for data entry and manipulation services.
Staff training services
Staff training expenses are payments to consultants, institutions or other businesses for the provision of staff training and education services.
Include:
training costs relating to all workers employed in this business (e.g. working proprietors and partners, contract/agency staff);
all fees paid to consultants and institutions for designing, conducting, evaluating or providing facilities for training courses; and
conference registration fees.
Exclude:
informal on-the-job training;
wages and salaries of this business' trainers and trainees for the time spent providing and receiving training (reported as Salaries and wages on ARF 331.0);
accommodation, meals and drinks (include in the data item "Travel, accommodation and entertainment");
stationery (include in the data item "Paper, printing and stationery"); and
venue hire.
Travel, accommodation and entertainment
Travelling expenses are costs incurred for transportation services relating to business activities which occur away from the normal place of business. These costs are only to be included if they are incurred in connection with business activities. Accommodation expenses are those costs incurred in providing accommodation to staff when business activities occur away from the normal place of business. Entertainment expenses are the costs incurred by a business for the provision of entertainment activities.
Other management and administrative expenses
Other management and administrative services expenses are payments to another business/consultant for providing administrative services or management expertise not elsewhere collected. e.g. services such as accounting or legal, could be carried out by the corporate office for the whole group, then costs distributed proportionally across the group. The individual business pays a fee to the head office for the service rendered but is unable to separately identify the individual components which constitute the fee.
Include:
payments made to related or unrelated business for management and administrative services.
Exclude:
payments for data processing services;
payments for secretarial, word processing, typing and copying services;
payments for staff training services; and
paper, printing and stationery expenses.
Cleaning services provided by other businesses
Cleaning services expenses are incurred when the business' premises are cleaned by an external business.
Include:
building cleaning;
office cleaning;
window cleaning;
furniture cleaning; and
removal of waste from inside to areas outside the office compounds.
Exclude:
wages and salaries of own employees engaged in cleaning activities (reported as Salaries and wages on ARF 331.0);
motor vehicle cleaning; and
carpet, laundry and dry-cleaning.
Other commission expenses
Commission expenses are payments to other businesses and self-employed persons for work done or sales made on a commission basis. Amounts shown here are commission expenses not elsewhere included. Commission expenses should be initially recorded under any other relevant expense items.
Include:
payments to other businesses and self employed persons for work done or sales made on a commission basis;
payments to persons paid by commission without a retainer; and
investigation fees paid to non-employees (on commission).
Exclude:
commissions paid to persons who receive a retainer;
commissions paid to own employees;
payments to consultants; and
investigation fees if paid to own employees.
Other contract expenses
Contract expenses are payments to other businesses and self-employed persons for work done on a contract basis. Amounts shown here are contract expenses not elsewhere included. Contract expenses should be initially recorded under any other relevant expense items (e.g. contract expenses for repair and maintenance would be recorded under 'Equipment repair and maintenance expenses').
Include:
payments to other businesses and self employed persons for work done on a contract basis;
contractors and subcontractors and their employees; and
owner/drivers.
Royalty expenses
Royalties (other than royalties for natural resources) are payments made by one business or individual for the use of rights owned by another company/person. Do not deduct withholding tax.
Include:
payments under licensing arrangements; and
payments for royalties from intellectual property (e.g. patents, copyrights, etc.).
Exclude:
expensed computer software licence fees (include in “Computer software expensed”); and
capitalised computer software licence fees (include in “Capital expenditure”).
Computer software expensed
These items represent the cost of any computer software (including license fees) that has been charged to profit as an expense in the current accounting period.
Include:
installation costs paid to external service providers;
purchase costs; and
expensed computer software licence fees.
Exclude:
other licence fees and royalties (include in “Royalty expenses”);
computer software capitalised (include in “Capital expenditure”); and
software maintenance (include in “Equipment repair and maintenance expenses”).
Computer equipment expensed
These items represent the cost of any computer equipment that has been charged to profit as an expense in the current accounting period.
Water charges
Include:
water rates and any excess water charges.
Repairs and maintenance
Include:
computer software and hardware maintenance.
Exclude:
wages and salaries of own employees (reported as Salaries and wages on ARF 331.0).