(
NB, where an entity falls within two or more categories, the higher or highest level of reporting shall apply)Status quo Class of entity
Preparation Audit Publication and distribution MED’s preliminary view
Entities that are for profit or usually for profit
Issuer of securities (incl. overseas issuer)
Yes Yes File with the Registrar of Companies Public accountability. No change.
Large non-issuer company (including co- operative company)
Yes Yes, but
shareholders can opt out
Make available to shareholders Economic significance. Retain preparation and audit requirements. Discussion document seeks comments on the ‘grandfathering’ approach adopted in Australia.
Large company with 25% or more overseas ownership
Yes Yes File with the Registrar of Companies Economic significance. No change.
Large overseas-
incorporated companies
Yes Yes File with the Registrar of Companies Economic significance. No change.
Large partnership No No Partners disclose true accounts and full
information to other partners.
Economic significance. Discussion document seeks comments on the ‘grandfathering’ approach adopted in Australia.
Large limited partnership
Yes No No requirements. Economic significance. Discussion document
seeks comments on the ‘grandfathering’ approach adopted in Australia.
Non-large non-issuer company (including co- operative companies)
Yes Yes, but
shareholders can opt out
Make available to shareholders
Non-large company with 25% or more overseas ownership
Yes Yes Make available to shareholders
Non-large overseas- incorporated companies
Yes Yes File with the Registrar of Companies
No indicators met. Remove mandatory requirements. Introduce default of
preparation/opt-out if the company has ten or more shareholders. Introduce default of non- preparation/opt-in if the company has fewer than 10 shareholders.
Non-large partnership No No Partners disclose true accounts and full
information to other partners.
Requirement is relevant where there is separation. No change.
Status quo Class of entity
Preparation Audit Publication and distribution MED’s preliminary view
Non-large limited partnership
Yes No No requirements. Separation, because limited partners must not
participate in the management of the business. However, no change needed as limited partners can demand financial information they need. Building society (non-
issuer)
Yes Yes Table book of accounts at the annual
meeting and send copies to members.
Separation. No change.
Friendly society (non- issuer)
Yes Yes, if assets,
and receipts & payments both ≥$20,000
File with the Registrar of Friendly Societies and Credit Unions. Provide a copy to members and any interested persons.
Separation – Retain requirement to provide to members. Remove “interested persons” requirement. Increase audit threshold to $100,000 of expenditure.
Retirement village (some are non-profit)
Yes Yes File with the statutory supervisor (if
there is one for that village) or the Registrar of Retirement Villages.
Separation. No change.
Government entities
The Crown, government department or crown entity
Yes Yes Table in Parliament Public accountability. No change.
SOE or Crown-owned company
Yes Yes Table in Parliament Separation. No change
School board or trustee Yes Yes Provide to Secretary of Education,
publish in a community forum & make available for inspection at the school.
Public accountability. No change.
Local authority Yes Yes Provide to Secretary of Internal Affairs,
Parliamentary Library and generally make available to the public.
Public accountability. No change.
Council-controlled trading organisation
Yes Yes Distribute to shareholders and make
available to the public.
Separation. No change.
Council-controlled organisation
Yes Yes Distribute to shareholders and make
available to the public.
Separation. No change.
Other public sector entity (e.g. Cemetery Board)
Status quo Class of entity
Preparation Audit Publication and distribution MED’s preliminary view
Private non-profit entities
Registered charity Yes - In
accordance with the prescribed form
No File with the Charities Commission. Commission requires financial
statements to be filed if they have been prepared.
Public accountability because they obtain donations direct from the public. Empower the Responsible Minister to approve tiers on the recommendation of the ASRB. Empower the ASRB to approve standards.
Incorporated society Yes – In
accordance with the prescribed form
No Submit to a general meeting. File with the Registrar of Incorporated Societies (unless it is a registered charity).
Public accountability. Remove preparation and filing requirements if annual operating
expenditure <$20,000. Introduce assurance if annual operating expenditure ≥$100,000. Industrial and provident
society
Yes - In accordance with the prescribed form
Yes File with the Registrar of Industrial and Provident Societies. Annual reports are sent to all members and interested parties.
Public accountability. Remove preparation and filing requirements if annual operating
expenditure <$20,000. Remove assurance if annual operating expenditure <$100,000.
Charitable trust No No None If a charitable trust receives money direct from
the public, then it is publicly accountable. If so, and the trustee or society is incorporated, then: (a) there should be preparation & filing
requirements if operating expenditure is ≥$20,000, and (b) assurance requirements if operating expenditure ≥$100,000.
Unincorporated societies
No No None No practical approach to enforcement. No
change.
Maori governance entities
Status quo Class of entity
Preparation Audit Publication and distribution MED’s preliminary view
Maori incorporation Yes Audit not
required if gross revenue
<$25,000
Yes Economic significance: Remove preparation,
filing and audit requirements for entities that are not large.
Separation: For non-large corporations, introduce defaults of (a) preparation/opt-out if the entity has 10 or more shareholders, and (b) non-preparation/opt-in if the entity has fewer than 10 shareholders.
Maori reservation No No None Separation. Retain existing provision for Māori
Land Court to provide supervision where revenue is derived from a Maori reservation.
Māori land trusts Yes and no Yes and no Yes and no Diverse situations. Retain Māori Land Court
powers to make whatever requirements are needed in the circumstances.
Add a requirement for economically significant trusts to publish audited GPFR.
Trusts and trust accounts
Licensing Trusts Yes Yes Tabled in Parliament and published in a
community forum
Public accountability. No change.
Community Trust Yes Yes Tabled in Parliament and published in a
community forum
Public accountability. No change.
Various trust accounts (e.g. accountants, solicitors and realtors)
N/A Yes Yes, usually quarterly. Special purpose audits aimed at detecting theft.