Standard Chart of Accounts Fact Sheet

09 Mar 2010
ANHLC_Erica

Victorian Standard Chart of Accounts

  • The Victorian Standard Chart of Accounts (SCOA) is a Victorian Government initiative coordinated by the Office for the Community Sector.
  • The Victorian SCOA provides a common approach for not-for-profit (NFP) organisations when collecting and recording financial information and consists of a set of accounts, which can be set up in most accounting software systems.
  • The Victorian SCOA will reduce administrative burden experienced by NFP organisations by standardising accounting terms and definitions throughout Victorian Government departments and agencies and by simplifying the financial reporting requirements for NFP organisations.
  • The Victorian SCOA will be mandatory for Victorian State Government departments and agencies for all new funding programs with NFP organisations from 1 July 2010.
  • Implementation of the Victorian SCOA will not be mandatory for NFP organisations. Organisations can continue to use their existing chart of accounts. However, by aligning their existing charts NFP organisations stand to benefit more fully from the reduction in administrative burden the Victorian SCOA offers.
  • The Victorian SCOA was developed by the Queensland University of Technology (QUT). QUT has previously developed a SCOA for Queensland, New South Wales and Western Australia.

Victorian Standard Chart of Accounts Training

The Office for the Community Sector is providing a targeted support program for Victorian NFP organisations considering implementing the Victorian SCOA. The support program includes:

  • 20 training sessions to be held throughout metropolitan and regional Victoria
  • A participant training manual to supplement the training sessions
  • Help desk support service including a toll free telephone helpline and email support
  • Online resources including online training

20 free training sessions open to all Victorian NFP organisations (are being held) which will explain the purpose, benefits and practical application of the Victorian SCOA. The 3hr training session is broken into 2 parts:

  • Section 1 (1hr): High level overview targeted at CEOs and finance officers
  • Sections 2 (2hr): Detailed implementation information targeted at finance officers

For more details please visit www.dpcd.vic.gov.au/communitysector.

National Standard Chart of Accounts

  • On 7 December 2009, the Council of Australian Governments (COAG) agreed to the development and implementation of a National SCOA for use by governments in their activities with NFP organisations receiving government funds.
  • The National SCOA is based on the Victorian SCOA. The only variations to the Victorian SCOA will be related to differences in state based legislation.
  • COAG has recommended that from 1 July 2010 each state and territory, where possible, implement a National (state based) SCOA. The year 2010-2011 will be used to harmonise the differences in state based legislation.
  • From 1 July 2011 a National SCOA will be implemented across all levels of government in all States and Territories. The National SCOA will continue to be non mandatory for NFP organisations although it is highly recommended that organisations align there existing charts with the National SCOA to receive the full burden reduction benefits possible.
  • For Victorian NFP organisations who implement the Victorian SCOA in 2010 only minimal modifications will be required to then align their charts with the National SCOA in 2011. Support will be provided by the Office for the Community Sector on this process.