Consumer Goods and Services Ombud (CGSO) urges all eligible suppliers to join Ombud urgently

17 February 2022
Accounting
South African Accounting Academy

The Board approved a late-joining fee of 25 per cent of the annual participant fee for suppliers who have yet to join the scheme.

Over the past three years, as more qualifying entities joined the scheme, the CGSO has reduced the participation fee and built the necessary reserves to continue fulfilling its mandate. At the same time, consumers have access to redress across a broader spectrum of suppliers of goods and services: The aim is to ensure that the burden of funding the Ombud is spread fairly across all qualifying participants. The more entities who comply with the Code and sign up, the better it is for everyone.

In effect, eligible suppliers who have delayed joining have a three-month grace period in which to comply with the Code without penalty. After that, a once-off late joining fee will be levied on all companies that have been in existence before 1 March 2022.

Click here to download the Press release:

https://www.cgso.org.za/cgso/download/cgso-press-release-december-2021/#

How does this affect you and your clients?

Relevance to Auditors, Independent Reviewers & Accountants:

The Consumer Protection Act is yet another piece of legislation that your clients must comply with, and which you must assess compliance with. If they don’t comply with the relevant laws and regulations, you have certain reporting obligations in terms of NOCLAR (NOn-Compliance with Laws And Regulations) – this could include reporting to management, qualifying your audit opinion, reporting a Reportable Irregularity, etc.
As a supplier of consumer goods and services, your clients must register with the CGSO – or face penalties. This leads to additional work required by you on the measurement and disclosure of provisions, contingent liabilities, etc.
As a consumer, you also need to comply with the CPA and be aware of important information in this regard.

Relevance to Your clients:

As a supplier of consumer goods and services, your clients must register with the CGSO – or face penalties.
As a consumer, your clients also need to comply with the CPA and be aware of important information in this regard.

To stay current with all the latest changes and updates subscribe to our Monthly Compliance and Legislative Update series for R 250.00 per month. This gives you access to a monthly 2-hour webinar and monthly newsletter:
https://accountingacademy.co.za/profession/monthly-legislation-update

Get all your CPD online. SA Accounting Academy (SAAA) offers Subscription Plans, Live Webinars, Webinars On-Demand, Access to Experts, Courses, Articles and more:
https://cpd.accountingacademy.co.za.