It is nearing March 31, which means the financial year-end for solicitor’s trust accounts. At this time, it is important to be aware of your obligations in regards to trust account external examinations to ensure lodgement by the due date. An external examination is a legal requirement under the Legal Profession Uniform Law and the Legal Profession Uniform General Rules 2015, and overseen by the relevant body in your state, such as the Law Society in New South Wales.
Selecting an auditor that meets your real estate trust account audit needs is important for your business. At Madden Partners, we know that making the choice to switch needs to be a good step for you, with the confidence that you will be receiving better value for your business. There are a couple of things that you can do to keep on top of your obligations and facilitate a smooth transition when switching trust account auditors.
March 31 is nearing and for solicitors, this means the financial year-end for trust accounts.
Receiving and holding trust money is subject to extra scrutiny as prescribed by The Law Society, to ensure that the money being held on behalf of clients is handled accordingly.
At this time, trust account external examinations need to be arranged to meet the lodgement date of May 31. The purpose of an external examination is to review and verify the operations of the trust account, including:
When audit time rolls near, it’s not only an exercise in compliance, but a real chance to take stock of your business – to identify opportunities and minimise risks. Real estate agencies have special audit obligations when holding monies in trust accounts. Licensees must arrange an audit engagement by the prescribed due dates specified in relevant state legislation and administered by each state’s Fair Trading department.
Real estate trust account audits are an important annual compliance obligation under state legislation. However, audit time is not just about meeting compliance requirements. In the right hands, the audit process can provide your business with additional opportunities to maximise your business processes. At Madden Partners, we ensure a thorough and specialised audit, but also provide tailored recommendation at no additional cost. We know that one size does not fit all and that an effective audit relies on us taking the time to understand your business, trust account system and processes, and objectives.