The annual financial statements of a business property practitioner who meets the following criteria must be audited by an auditor within six months after financial year-end of the business property practitioner, which financial year-end may not be altered without the prior written approval of the Authority:
- A business property practitioner, regardless of legal form of their business, with annual revenue of R2,5 million and above, and who is not in possession of a PPRA-issued trust account exemption letter; and
- A business property practitioner operating as a company or close corporation, regardless of annual revenue, if:
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- the aggregate of trust monies held at an particular point during the financial year exceeded R5 million; or
- its Public Interest Score, calculated in terms of the Companies Act, is 350 or more; or
- its Public Interest Score, calculated in terms of the Companies Act, is above 100 and its annual financial statements are internally compiled.
The audited annual financial statements must only be submitted to the Authority when requested in writing and do not need to be submitted to the Authority on an annual basis.
The annual financial statements of a business property practitioner who meets the following criteria must be independently-reviewed within six months after financial year-end of the business property practitioner, which financial year-end may not be altered without the prior written approval of the Authority:
- A business property practitioner regardless of legal form of their business, with annual revenue below R2,5 million, and who is not in possession of a PPRA-issued trust account exemption letter;
- A business property practitioner in possession of a PPRA-issued trust account exemption letter regardless of annual revenue; or
- A business property practitioner whose annual financial statements must not audited based on the above criteria for an audit.
The independent review of the annual financial statements must be performed by:
- The same auditor appointed to the audit the trust account(s), where a business property practitioner has not been granted an exemption from keeping a trust account; or
- an auditor or a chartered accountant, where a business property practitioner is a company, has been granted an exemption from holding a trust account and its Public Interest Score, calculated in terms of the Companies Act, is 100 or above; or
- an auditor, chartered accountant or any person qualified to be an accounting officer of a close corporation, where a business property practitioner is a company, has been granted an exemption from holding a trust account and its Public Interest Score, calculated in terms of the Companies Act, is below 100; or
- an auditor, chartered accountant or any person qualified to be an accounting officer of a close corporation, where a business property practitioner is not a company and has been granted an exemption from holding a trust account.
The independently-reviewed annual financial statements must only be submitted to the Authority when requested in writing and do not need to be submitted to the Authority on an annual basis.