Public Audit Act, 2004 (Act No. 25 of 2004) Chapter 1: Interpretation and Objects of Act 1. Definitions

 

 

"accounting authority"

means a body or person defined as an accounting authority in the Public Finance Management Act, or any body or person designated as an accounting authority in terms of any other law, as the case may be;

[Definition inserted by section 1(a) of Notice No. 1260, GG 42045, dated 20 November 2018]

 

"audit"

means the examination or investigation, in accordance with any applicable audit standards, of those aspects to be reported on in terms of section 20 or 28;

 

"accounting entity"

means an accounting entity referred to in section 188(1)(c) of the Constitution;

[Definition substituted by section 1(b) of Notice No. 1260, GG 42045, dated 20 November 2018]

 

"auditee"

means an institution or accounting entity referred to in section 4 that is or is to be audited in terms of this Act, and includes any group of such institutions or accounting entities whose financial statements are or are to be consolidated in terms of legislation referred to in section 4(2) of this Act;

 

"accounting officer"

means a person defined as an accounting officer in the Public Finance Management Act or the Municipal Finance Management Act, or any person designated as an accounting officer in terms of any other law, as the case may be;

[Definition inserted by section 1(c) of Notice No. 1260, GG 42045, dated 20 November 2018]

 

"audit fees"

means an amount recoverable by the Auditor-General from an auditee or other institution for the performance of an audit or other function in terms of this Act, and includes any costs arising as a consequence of an audit or investigation carried out by the Auditor-General or an authorised auditor;

 

"Auditing Profession Act"

means the Auditing Profession Act, 2005 (Act No. 26 of 2005);

[Definition inserted by section 1(d) of Notice No. 1260, GG 42045, dated 20 November 2018]

 

"Auditor-General"

 

"authorised auditor"

means a person authorised in terms of section 12 to perform or to assist in the performance of an audit referred to in section 11;

 

"Constitution"

means the Constitution of the Republic of South Africa, 1996;

[Definition inserted by section 1(e) of Notice No. 1260, GG 42045, dated 20 November 2018]

 

"constitutional institution"

has the meaning assigned to it in section 1 of the Public Finance Management Act;

 

"delegation"

in relation to a duty, includes an instruction or request to perform or to assist in performing the duty;

 

"Deputy Auditor-General"

means the person appointed in terms of section 31, and includes a person acting as the Deputy Auditor-General;

 

"executive authority"

means the executive authority as provided for in any relevant legislation to an auditee;

[Definition inserted by section 1(f) of Notice No. 1260, GG 42045, dated 20 November 2018]

 

"fruitless and wasteful expenditure"

in relation to expenditure of the Auditor-General, means expenditure incurred by the Auditor-General that was made in vain and would have been avoided had reasonable care been exercised;

 

"irregular expenditure"

in relation to expenditure of the Auditor-General, means expenditure incurred by the Auditor-General in contravention of, or that is not in accordance with, a requirement of this Act or any other legislation applicable to the Auditor-General;

 

"legislature"

means Parliament, a provincial legislature or a municipal council;

 

"material irregularity"

means any non-compliance with, or contravention of, legislation, fraud, theft or a breach of a fiduciary duty identified during an audit performed under this Act that resulted in or is likely to result in a material financial loss, the misuse or loss of a material public resource or substantial harm to a public sector institution or the general public;

[Definition inserted by section 1(g) of Notice No. 1260, GG 42045, dated 20 November 2018]

 

"municipal entity"

has the meaning assigned to it in section 1 of the Local Government: Municipal Systems Act, 2000 (Act No. 32 of 2000);

 

"Municipal Finance Management Act"

means the Local Government: Municipal Finance Management Act, 2003 (Act No. 56 of 2003);

 

"municipality"

means a municipality established in terms of the Local Government: Municipal Structures Act, 1998 (Act No. 117 of 1998);

 

"national department"

has the meaning assigned to it in section 1 of the Public Finance Management Act;

 

"National Treasury"

means the National Treasury established in terms of section 5 of the Public Finance Management Act;

 

"oversight mechanism"

means the oversight mechanism established in terms of section 10(3);

 

"prescribed"

means prescribed by regulation made in terms of section 52;

[Definition inserted by section 1(h) of Notice No. 1260, GG 42045, dated 20 November 2018]

 

"provincial department"

has the meaning assigned to it in section 1 of the Public Finance Management Act;

 

"provincial treasury"

has the meaning assigned to it in section 1 of the Public Finance Management Act;

 

"Public Accountants’ and Auditors’ Act"

[Definition deleted by section 1(i) of Notice No. 1260, GG 42045, dated 20 November 2018]

 

"public entity"

has the meaning assigned to it in section 1 of the Public Finance Management Act;

 

"Public Finance Management Act"

means the Public Finance Management Act, 1999 (Act No. 1 of 1999);

 

"relevant legislature"

means a legislature that has a direct interest in an audit;

 

"remuneration committee"

means the remuneration committee established in terms of section 5(2)(bA);

[Definition inserted by section 1(j) of Notice No. 1260, GG 42045, dated 20 November 2018]

 

"standards"

means the standards by which an audit is conducted and includes audit practices, procedures and guidelines;

 

"supreme audit institution"

means the institution which, however designated, constituted or organised, exercises by virtue of the law of a country, the highest public auditing function of that country;

 

"this Act"

includes the regulations.

[Definition inserted by section 1(k) of Notice No. 1260, GG 42045, dated 20 November 2018]