Public Finance Management Act, 1999 (Act No. 1 of 1999) > Chapter 5 : Departments and Constitutional Institutions > Part 2 : Responsibilities of accounting officers > 40. Accounting officers' reporting responsibilities

(1)	The accounting officer for a department, trading entity or constitutional institution—

(a)	must keep full and proper records of the financial affairs of the department, trading entity or constitutional institution in accordance with any prescribed norms and standards;

(b)	must prepare financial statements for each financial year in accordance with generally recognized accounting practice;

(c)	must submit those financial statements within two months after the end of the financial year to—

(i)	the Auditor-General for auditing; and

(ii)	the relevant treasury to enable that treasury to prepare consolidated financial statements in terms of section 8 or 19;

(d)	must submit within five months of the end of a financial year to the relevant treasury and, in the case of a department or trading entity, also to the executive authority responsible for that department or trading entity—

(i)	an annual report on the activities of that department, trading entity or constitutional institution during that financial year;

(ii)	the financial statements for that financial year after those statements have been audited; and

(iii)

the Auditor-General's report on those statements;

(e)

must, in the case of a constitutional institution, submit to Parliament that institution's annual report and financial statements referred to in paragraph (d), and the Auditor-General's report on those statements, within one month after the accounting officer received the Auditor-General's audit report; and

(f)	is responsible for the submission by the department or constitutional institution of all reports, returns, notices and other information to Parliament, the relevant provincial legislature, an executive authority, the relevant treasury or the Auditor-General, as may be required by this Act.

(2)	The Auditor-General must audit the financial statements referred to in subsection (1)(b) and submit an audit report on those statements to the accounting officer within two months of receipt of the statements.

(3)	The annual report and audited financial statements referred to in subsection (1)(d) must—

(a)	fairly present the state of affairs of the department, trading entity or constitutional institution, its business, its financial results, its performance against predetermined objectives and its financial position as at the end of the financial year concerned; and

(b)	include particulars of—

(i)	any material losses through criminal conduct, and any unauthorised expenditure, irregular expenditure and fruitless and wasteful expenditure, that occurred during the financial year;

(ii)	any criminal or disciplinary steps taken as a result of such losses, unauthorised expenditure, irregular expenditure and fruitless and wasteful expenditure;

(iii)

any material losses recovered or written off; and

(iv)	any other matters that may be prescribed.

(4)	The accounting officer of a department must—

(a)	each year before the beginning of a financial year provide the relevant treasury in the prescribed format with a breakdown per month of the anticipated revenue and expenditure of that department for that financial year;

(b)	each month submit information in the prescribed format on actual revenue and expenditure for the preceding month and the amounts anticipated for that month in terms of paragraph (a); and

(c)	within 15 days of the end of each month submit to the relevant treasury and the executive authority responsible for that department—

(i)	the information for that month;

(ii)	a projection of expected expenditure and revenue collection for the remainder of the current financial year; and

(iii)

when necessary, an explanation of any material variances and a summary of the steps that are taken to ensure that the projected expenditure and revenue remain within budget.

(5)	If an accounting officer is unable to comply with any of the responsibilities determined for accounting officers in this Part, the accounting officer must promptly report the inability, together with reasons, to the relevant executive authority and treasury.