Latest FAQs on GRAP

Latest FAQs on GRAP

• 10 April 2024
• Financial Reporting
• South African Accounting Academy

These FAQs were originally issued in February 2011.

The following updates are included in this version:

Amended the following FAQs:

• FAQ 1.2 on What is the effective date of the Conceptual Framework?
• FAQ 2.10 on When does the 3-year transitional period relating to the initial adoption of Standards of GRAP expire?
• FAQ 6.4 on Are liabilities for employee benefits in the scope of GRAP 104?

Added the following FAQs:

• FAQ 2.15 on What is the difference between transitional provisions and the measurement period?
• FAQ 1.4 on How should the old and new Conceptual Framework be read with the Standards of GRAP?

Appendix B includes a list of abbreviations used in the FAQs.

The Standards of GRAP apply only to material items. Consequently, the FAQs have been drafted on the basis that a particular issue is material. When considering the FAQs, entities should apply judgement in determining whether an issue outlined in the FAQs is material to its operations.

The questions and responses focus on issues that are of interest to public entities, constitutional institutions, municipalities, municipal entities, Parliament and the provincial legislatures, trading entities, Technical and Vocational Education and Training (TVET) and Community Education and Training (CET) colleges collectively called “entities” in the FAQ document.

Click here to download the FAQs:

https://www.asb.co.za/wp-content/uploads/2023/08/FAQs-on-Standards-of-GRAP-updated-March-2024.pdf

Relevance to Auditors, Independent Reviewers & Accountants:

• You need to assess fair presentation and compliance with the Standards of GRAP.
• Non-compliance with GRAP standards may lead to a modified audit opinion.
• You should be aware of the latest publications issued by the relevant board, e.g. ASB.
• The questions and responses outlined in this document are based on queries commonly received by the Secretariat, the AGSA and the OAG and have been compiled to assist preparers of the financial statements.  The questions and responses provide a summarised analysis of topical issues – even though it is not comprehensive.

Relevance to Your clients:

• Relevant entities should be aware of the latest publications issued by the standards board, e.g. ASB.
• The questions and responses focus on issues that are of interest to public entities, constitutional institutions, municipalities, municipal entities, Parliament and the provincial legislatures, trading entities and Public Further Education and Training Colleges collectively called “entities” in this document (unless indicated otherwise).

0 COMMENTS

LEAVE A COMMENT