How Does A Scheme Change Their Financial Year-End?
Many schemes have February year-ends and this often causes delays with the scheduling of the Annual General Meetings as the Auditors are overloaded. Auditors also often charge more for attending to February year-end audits.
The reason why so many schemes have February year ends is due to the fact that the old Act used to state that all ST schemes by default will have February year ends. This however changed when the STSM Act came into effect on 7 October 2016.
PMR 21 (1) states the following in this regard;
The financial year of a body corporate established after the Act comes into operation must run from the first day of October of each year to the last day of September of the following year unless otherwise resolved by the body corporate in general meeting
Many schemes have February year-ends and this often causes delays with the scheduling of the Annual General Meetings as the Auditors are overloaded. Auditors also often charge more for attending to February year-end audits.