2014 FINANCIAL STATEMENTS OF INTOSAI REPORT OF THE EXTERNAL AUDITORS AND

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1 INTERNATIONAL ORGANIZATION OF SUPREME AUDIT INSTITUTIONS ORGANISATION INTERNATIONALE DES INSTITUTIONS SUPÉRIEURES DE CONTRÔLE DES FINANCES PUBLIQUES INTERNATIONALE ORGANISATION DER OBERSTEN RECHNUNGSKONTROLLBEHÖRDEN ORGANIZACIÓN INTERNACIONAL DE LAS ENTIDADES FISCALIZADORAS SUPERIORES 2014 FINANCIAL STATEMENTS OF INTOSAI AND REPORT OF THE EXTERNAL AUDITORS Rechnungshof, Dampfschiffstrasse 2, 1031 Vienna Vienne Wien Viena Austria Autriche Österreich Austria Tel. +43 (1) , Fax +43 (1) World Wide Web:

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3 Table of contents Page I. Introduction... 5 II. Opinion of the External Auditors... 7 III. Financial Statements III.1 Statement of Financial Position... 8 III.2 III.3 III.4 III.5 Statement of Financial Performance Statement of Changes in Equity (Funds) Cash Flow Statement Statement of Comparison of Budgeted and Actual Amounts IV. Notes IV.1 Organizational Background IV.2 IV.3 IV.4 IV.5 IV.6 IV.7 IV.8 Legal Status of INTOSAI INTOSAI General Secretariat Contribution Made by the Austrian Court of Audit Activity report General Audit of the 2013 financial statements th Meeting of the Finance and Administration Committee th Meeting of the Governing Board of INTOSAI Meeting of the INTOSAI Task Force on Strategic Planning Participation of the General Secretariat in events within the framework of INTOSAI Significant accounting principles Supplementary Report on the Financial Management in Introduction Statement of Financial Positions Annual result Statement of Financial Performance Statement of Changes in Equity (Funds) Cash Flow Statement Supplementary Notes Annex 8.1 Segments Annex 8.2 Asset Analysis Annex 8.3 Contribution Groups for membership contribution assessments for 2014 (as of 2008) Annex 8.4 Members Financial statements 2014

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8 III. FINANCIAL STATEMENTS 2014 III.1 Statement of Financial Position as at 31 December 2014 (carried out to the second decimal point of EUR) Notes ASSETS Current assets Cash and Cash equivalents Cash on hand Item , Current accounts Item , , , Fixed deposit account (maturing daily) Item , Receivables (non-exchange transactions) Assessed contributions - members Item , , , Assessed contributions - associate members Item , Other receivables Item , , , Prepayments (accruals and deferrals) Item , , , Other current assets Fixed deposit accounts Item , , , , , , Non-current assets Non-current receivables Assessed contributions previous years - members Item , , , Other receivables Item , , Other non-current assets Fixed deposit accounts Item , , , Infrastructure, Plant and Equipment Item Intangible Assets Item , , , , , , Total assets 1,186, ,105, ,096, LIABILITIES Current liabilities Short-term provisions Item , , Provision for receivables assessed contributions 2014 Item , , , Prepayments (accruals and deferrals) Item , , , Other current liabilities Liability to IJGA Item , , , Liability to Collaboration Tool Item , , , Liability to IDI Item , , , Liability to Congress Item , Liability from Grants/Donations Item , Other liabilities Item , , , , , , Financial statements

9 III.1 Statement of Financial Position (continued) as at 31 December 2014 (carried out to the second decimal point of EUR) Non-current liabilities Notes Provision receivables assessed contributions previous years Item , , , Other non-current liability Liability to Congress Item , , Liability to IJGA Item Liability to Collaboration Tool Item Liability to IDI Item , , , Total liabilities 239, , , Net assets 947, , , NET ASSETS/EQUITY 2 Accumulated funds General Secretariat fund Item III.3 393, , , Training Activities/Symposia fund Item III.3 488, , , Surplus/(Deficit) for the period Item III.2+Item , , , Total net assets/equity 947, , , In order to ensure a true and fair presentation of any surplus or deficit in net assets/equity, outstanding receivables from assessed contributions are fully offset against provisions for outstanding contributions in the Statement of Financial Position and not booked as revenue. 9 Financial statements 2014

10 III.2 Statement of Financial Performance for the financial year ended 31 December 2014 (carried out to the second decimal point of EUR) REVENUE Contributions Revenue from assessed contributions 3 284, , ,595 Revenue from voluntary contributions - 5, Revenue from outstanding contributions previous years 3 17, , , Other revenue Other revenue (exchange gains and a credit note) Interest on INTOSAI accounts 5, , , Revenue from release of funds Total revenue 307, , , EXPENSES Rewards to staff -1, , Depreciation -1, , , Travel abroad -46, , , Postage , , IT , , Translation -57, , , Office supplies Printing - -4, , Technical literature Entertainment -8, , , Bank charges -2, , , Other expenses , Transport -2, , Training for staff , Travel seminar participants - -19, Accommodation of seminar participants - -11, Conference service -1, , Speaker fees - -4, Withholding Tax on Interest -1, , , Customs Duty/Import Sales Tax Allocation to Collaboration Tool -15, , , Allocation to IDI -15, , , Allocation to provision for Congress -15, , , Allocation to IJGA -60, , , Total expenses -241, , , SURPLUS/(DEFICIT) FOR THE PERIOD 66, , , In order to ensure a true and fair presentation of any surplus or deficit in net assets/equity, outstanding receivables from assessed contributions are fully offset against provisions for outstanding contributions in the Statement of Financial Position and not booked as revenue. Financial statements

11 III.3 Statement of Changes in Equity (Funds) for the financial year ended 31 December 2014 (carried out to the second decimal point of EUR) EQUITY Balance as at 1 January 881, , , Deficit for the period (release of funds) - -26, Surplus for the period 66, , Balance as at 31 December 947, , , FUNDS General Secretariat fund as at 1 January 393, , , Deficit for the period (release of funds) -28, , Surplus for the period , Balance as at 31 December 364, , , Training Activities/Symposia fund as at 1 January 488, , , Deficit for the period (release of funds) - -22, Surplus for the period 94, , Balance as at 31 December 582, , , Total in funds 3 947, , , Financial statements 2014

12 III.4 Cash Flow Statement for the financial year ended 31 December 2014 (carried out to the second decimal point of EUR) CASH FLOW FROM OPERATING ACTIVITIES Surplus/(Deficit) for the period 66, , , Depreciation of tangible assets Depreciation of intangible assets 1, , , Receivables -3, , , Non-current receivables , , Prepayments (accruals and deferrals) -35, , , Provisions 4, , , Current liabilities 24, , , Non-current liabilities 15, , , Short-term provisions 6, , Net Cash Flow from operating activities 79, , , CASH FLOW FROM INVESTING ACTIVITIES Other current assets -150, , , Other non-current assets 150, , , Net Cash Flow from investing activities , , Net increase/(decease) in cash or cash equivalents 79, , , Cash and cash equivalents as at 1 January 283, , , Cash and cash equivalents as at 31 December 363, , , Financial statements

13 III.5 Statement of Comparison of Budgeted and Actual Amounts for the financial year ended 31 December 2014 (carried out to the second decimal point of EUR) Budgeted Amounts Actual Amounts Difference REVENUE General Secretariat Contributions 87, , , Interest 1, , Collaboration Tool contributions 14, , Collaboration Tool interest Total revenue General Secretariat 104, , , Training Activities/Symposia Contributions 87, , , Interest , IDI contributions 14, , IDI interest Total revenue Training Activities/Symposia 104, , , Congress Contributions 14, , Congress interest Total revenue Congress 14, , IJGA Contributions 58, , , IJGA Interest 1, , DSTP travel contributions 14, , DSTP travel interest Total revenue IJGA 74, , , Total revenue 298, , , EXPENSES General Secretariat Rewards to staff -1, , Depreciation -1, , Travel abroad -65, , , Postage -1, , IT -2, , Translation -42, , , Office supplies -1, , Printing -2, , Technical literature Entertainment -9, , , Training for staff -3, , Bank charges -3, , , Other expenses -3, , Transport -6, , Conference service -5, , , Withholding tax on interest Customs Duty/Import Sales Tax Expense for previous periods Allocation to Collaboration Tool -14, , Withholding tax on interest Collaboration Tool Total expenses - General Secretariat -160, , , Financial statements 2014

14 III.5 Statement of Comparison of Budgeted and Actual Amounts (continued) for the financial year ended 31 December 2014 (carried out to the second decimal point of EUR) Budgeted Amounts Actual Amounts Difference Training Activities/Symposia Translation -3, , , Withholding tax on interest Allocation to IDI -14, , Withholding tax on interest IDI Bank charges Total expenses Training Activities/Symposia -18, , , Congress Allocation to Congress -14, , Withholding tax on interest Total expenses - Congress -14, , IJGA Allocation to IJGA -59, , , Bank charges Withholding tax on interest Travel abroad DSTP -14, , , Withholding tax on interest DSTP Total expenses - IJGA -74, , , Total expenses -269, , , SURPLUS FOR THE PERIOD 29, , Financial statements

15 IV. IV.1 NOTES Organizational Background The International Organization of Supreme Audit Institutions (INTOSAI) is an autonomous, independent and non-political organization established as a permanent institution in order to foster the exchange of ideas and experiences on government auditing among the Supreme Audit Institutions. Its headquarters are in Vienna, Austria. The INTOSAI Statutes ( are the main basis for its activities. The preparation of the financial statements is governed specifically by the INTOSAI Financial Rules. INTOSAI is funded by membership dues, voluntary payments, and by in-kind contributions. IV.2 Legal Status of INTOSAI Since July 2006, INTOSAI has enjoyed the legal status of a non-governmental international organization (Federal Act on the Granting of Privileges to Non-Governmental Organizations, Federal Law Gazette No. 174/1992). IV.3 INTOSAI General Secretariat Since 1968 (by resolution of the VI INTOSAI Congress in Tokyo) the General Secretariat of INTOSAI has been permanently based in Vienna, Austria, at the Court of Audit of the Republic of Austria. It provides central administrative support to INTOSAI, manages the INTOSAI budget, assists the Board and Congresses, facilitates communication among members, and organizes symposia and special projects. The President of the Court of Audit of the Republic of Austria is the Secretary General of INTOSAI. IV.4 Contribution Made by the Austrian Court of Audit In accordance with Article 9, section 2 of the Statutes of INTOSAI, the Court of Audit of the Republic of Austria shall provide the staff and office premises for the General Secretariat and bear the expenditure incurred. In compliance with this obligation, the Secretary General of INTOSAI submits the following statement: Staff expenditure borne by the Austrian Court of Audit for the General Secretariat of INTOSAI in 2014 amounted to... EUR 679, Office expenditure (rent, energy and maintenance) in 2014 amounted to... EUR 31, In total, the Austrian Court of Audit such contributed... EUR 710, in terms of defrayed costs. 15 Financial statements 2014

16 In addition, considerable costs were incurred for telecommunication, which could not be separately assessed for technical reasons. Financial statements

17 IV.5 Activity report 5.1 General The activities of the General Secretariat in 2014 were based on the Strategic Plan of INTOSAI, in particular the strategic priorities SAI independence and implementation of the ISSAIs as well as on the communication priority theme adopted by the 64 th Governing Board in Beijing, China, Implementation of the Beijing Declaration, with particular regard to the UN General Assembly Resolution A/66/209 on strengthening SAI independence and the ISSAI framework on safeguarding the sustainable development of public finances. In the course of the implementation of the above-mentioned themes, special focus was placed on the independence of SAIs, safeguarding the sustainable development of public finances as well as the implementation of the ISSAI framework. In this context, the General Secretariat worked with full steam on anchoring the conditions for the work of SAIs in the UN Post-2015 Sustainable Development Goals and on attaining a further UN General Assembly resolution on strengthening SAIs with regard to the UN Sustainable Development Goals. This goal was achieved with the Resolution A/69/228 of 19 December A further central topic was the improvement of the INTOSAI standard-setting process and the ongoing implementation of the International Standards of Supreme Audit Institutions (ISSAIs). Moreover, contacts with and between the Regional Working Groups were intensified. In the framework of the cooperation between INTOSAI and the Donor Community, the General Secretariat participated in the meetings of the steering committees. 5.2 Audit of the 2013 financial statements In conformity with Article 10 of the Statutes of INTOSAI, an audit of the 2013 financial statements, of the financial report and the report on the financial management of the General Secretariat of INTOSAI was conducted from 3 to 7 March 2014 by the Supreme Audit Institutions (SAIs) of Oman and Ghana as auditors appointed by the XXI Congress of INTOSAI. The General Secretariat of INTOSAI submitted no comments to the audit report. 17 Financial statements 2014

18 th Meeting of the Finance and Administration Committee The 11 th meeting of the Finance and Administration Committee of INTOSAI was held in Paris, France, on 18 September The deliberations focussed on questions concerning the financial future of INTOSAI and the strategicplanning process. UN/INTOSAI Symposium 2015 As regards the UN/INTOSAI Symposium, the Finance and Administration Committee of INTOSAI took the following decisions: no assumption of accommodation expenses for attendees funded by INTOSAI; (potential savings (compared to the UN/INTOSAI Symposium 2013): EUR 11,000.00) no organisation of a reception or of social events for the symposium; (potential savings (compared to the UN/INTOSAI Symposium 2013): EUR 6,000.00) limiting the translation of the main papers of the INTOSAI symposium into the five official INTOSAI languages to a maximum of two pages per document; (potential savings (compared to the UN/INTOSAI Symposium 2013): EUR 30,000.00) INTOSAI Financial Rules The % range contributed to the UN budget was adjusted from two to three decimal points (see Annex 8.3). Furthermore, the Finance and Administration Committee recommended to adjust the indexation of membership fees for INTOSAI website 2014/2015 The Finance and Administration Committee of INTOSAI confirmed a redeployment of funds for the overhaul and improvement of the INTOSAI website amounting to EUR 23, from the budgetary year 2014 to the budgetary year th Meeting of the Governing Board of INTOSAI The 66 th meeting of the INTOSAI Governing Board, which took place in Vienna, Austria, from 6 to 7 November 2014, was attended by the members of the Governing Board, the rapporteurs of the committees, the subcommittees, the working groups and the task forces, the INTOSAI Development Initiative (IDI), the International Journal of Government Auditing, the Director of Strategic Planning as well as a high-ranking UN representative. Financial statements

19 The Governing Board adopted, among others, the audited financial statements 2013; adopted a procedure for the earmarked use of voluntary financial contributions according to Article 9, para 1 (b) of the INTOSAI Statutes; adopted saving measures for the budgetary year 2015 and the redeployment of funds for the overhaul and improvement of the INTOSAI website from the budgetary year 2014 to the budgetary year 2015 (see item 5.3); approved of the amendment of the INTOSAI Financial Rules with regard to the adjustment of the presentation of the INTOSAI membership fees with regard to the % range contributed to the UN budget to three decimal points (see item 5.3 and Annex 8.3); approved of an adjustment of the indexation of membership fees from 2015 on. 5.5 Meeting of the INTOSAI Task Force on Strategic Planning The first in-person meeting of the INTOSAI Task Force on Strategic Planning was held in Vienna, Austria, on 5 November On this occasion, the participants paved the way for a first concrete draft of a new strategic plan for the period of Participation of the General Secretariat in events within the framework of INTOSAI In addition to the meetings of the INTOSAI Governing Board and the meetings of the Finance and Administration Committee, the General Secretariat attended inter alia the following events in the period under review: Preparatory talks for INCOSAI XXII (17 19 February 2014), Abu Dhabi, United Arab Emirates; Preparatory talks with the Inter-Parliamentary Union (27 February 2014), Geneva, Switzerland; General Assembly of the Inter-Parliamentary Union (19 March 2014), Geneva, Switzerland; 22 nd Conference of Commonwealth Auditors General (24 27 March 2014), Valletta, Malta; EUROSAI meeting/goal Team 4 (5 6 May 2014), Lisbon, Portugal; 41 st EUROSAI Governing Board meeting (16 June 2014), The Hague, The Netherlands; IX EUROSAI Congress (16 19 June 2014), The Hague, The Netherlands; 19 Financial statements 2014

20 42 nd EUROSAI Governing Board meeting (19 June 2014), The Hague, The Netherlands; United Nations Public Service Forum, (23 26 June 2014,) Seoul, South Korea; United Nations ECOSOC High Level Political Forum on Sustainable Development (8 14 July 2014), New York, United States of America; Meeting with the German Society for International Cooperation (GIZ) (28 July 2014), Frankfurt, Germany; 1 st meeting of the Task Group on INTOSAI Auditor Certification (11 12 August 2014), Oslo, Norway; 17 th PASAI Congress (19 22 August 2014), Apia, Samoa; Meeting of the Steering Committee of the Capacity Building Committee (9 11 September 2014), Lima, Peru; 7 th Meeting of the Steering Committee INTOSAI-Donor Cooperation (16 17 September 2014), Paris, France; II ASOSAI-EUROSAI Joint Conference (25 26 September 2014), Moskow, Russian Federation; Meeting of the INTOSAI Working Group on the Fight Against Corruption and Money Laundering (7 8 October 2014), Washington, United States of America; EUROSAI meeting/goal Team 2 (9 10 October 2014), Riga, Latvia; General Assembly of the Inter-Parliamentary Union (14 15 October 2014), Geneva, Switzerland; 6 th Meeting of the Steering Committee of the Knowledge Sharing Committee (14 15 October 2014), Cairo, Egypt; 13 th AFROSAI General Assembly (27 29 October 2014), Sharm El Sheikh, Egypt; XXIV OLACEFS General Assembly (24 28 November 2014), Cusco, Peru; Official ceremony 300 th anniversary of the German Bundesrechnungshof (Federal Court of Auditors) (18 November 2014), Bonn, Germany. Financial statements

21 IV.6 Significant accounting principles IPSAS Standards The financial statements are prepared in compliance with the INTOSAI Financial Rules and based on the International Public Sector Accounting Standards (IPSAS). Departures from any specific standards are made only for the purpose of fair presentation of a given requirement. The following contains an explanation of the nature of the departure and the financial impact of that departure (see IPSAS 1.32). IPSAS 1: Presentation of the financial statements The items presented in the financial statements are considered as material. The net assets/equity corresponds to the INTOSAI funds. These funds are the aggregate of the accumulated surpluses or deficits for the segments General Secretariat and Training Activities/Symposia from prior periods. Departing from the financial statements prior to 2009, the notes are presented as supplementary information in the annex which now corresponds with the structure of the components of a financial statement according to IPSAS 1.21(f). IPSAS 2: Cash Flow INTOSAI does not conduct transactions within the meaning of IPSAS 2.26 (financing activities). The presentation according to IPSAS 2 therefore covers the cash flow from operating and investing activities; the presentation follows the indirect method. IPSAS 3: Accounting Policies With the introduction of full accrual accounting, receivables from assessed contributions have to be presented in the Statement of Financial Position. The valuation of outstanding receivables from assessed contributions in the assets would have an impact on the net surplus or deficit for the period. However, the extent of future payments of outstanding receivables cannot be anticipated. Therefore, a valuation allowance is not carried out. In order to ensure a true and fair presentation of any surplus or deficit in net assets/equity, outstanding receivables from assessed contributions are fully offset against provisions for outstanding contributions in the Statement of Financial Position and not booked as revenue (cf. IPSAS 3.12). Accounting on accrual basis The transaction and events are recorded in the accounting records and recognized in the financial statements of the periods to which they relate (and not only when cash or cash equivalents are received or paid). The elements recognized under accounting are assets, liabilities, net assets/equity, revenue and expenses. Interest and other revenues are recorded as accrued. Assessed contributions for the actual period and for previous years are an exception. In order to ensure a true and fair presentation of any surplus or deficit in net assets/equity, outstanding receivables from assessed contributions are fully 21 Financial statements 2014

22 offset against provisions for outstanding contributions in the Statement of Financial Position and not booked as revenue. Contributions in kind Significant contributions are being made to the organization. These include, inter alia, staff, office premises, and telecommunication facilities (see item IV.4). Contributions in excess thereof, such as the services of the external auditors, or the provision of speakers for UN/INTOSAI symposia and other special INTOSAI events, are not recorded in the INTOSAI financial statements (cf. IPSAS 23.98). Expenses Expenses are recognized when incurred and recorded in the period to which they relate. Conversion to transactions incurred in other currencies Transactions conducted in currencies other than the accounting currency, Euro (EUR), are converted at the closing rate of exchange prevailing on the date of transaction. Cash and cash equivalents For the purpose of the Cash Flow Statement, cash and cash equivalents include cash on hand and cash at bank and overnight deposits. Financial statements

23 IV.7 Supplementary Report on the Financial Management in Introduction The financial statements for the financial year ending 31 December 2014 are presented in Euro (EUR). The three-year budget for the triennium 2014 to 2016 was adopted by the XXI Congress of INTOSAI in 2013 in Beijing, China. The three-year budget contains three authorized one-year budgets for the respective financial years. The adopted budget was executed within the framework of the INTOSAI Financial Rules. In accordance with Rule II.2 of the Financial Rules of INTOSAI, contributions paid by full members and by associate members are allocated to the four main activities of INTOSAI as follows: 35 % for the operations of the General Secretariat (5 % of which are allocated to the SAI responsible for the INTOSAI Collaboration Tool); 35 % for Training Activities/Symposia (5 % of which are allocated to IDI); 25 % to the International Journal of Government Auditing (5 of the 25 % are used to cover the travel expenses of the Director of Strategic Planning for the years 2014 until ) 5 % to Congress. 35 % of all contributions received therefore qualify as transfer payments. 7.2 Statement of Financial Positions INTOSAI s cash and cash equivalents comprise the following balances: Interest min Interest max Balance in EUR as at 31 December 2014 Cash in hand Current account (maturing daily) % % 19, Current account (maturing daily) % % 143, Current account (maturing daily) % % 100, Fixed deposit account (maturing daily) % % 100, Total 363, According to the 64 th Meeting of the Governing Board of INTOSAI in Financial statements 2014

24 INTOSAI s other current and non-current assets comprise the following bank balances: Interest Balance in EUR as at 31 December 2014 Fixed deposit account (24 months) maturing 16 March % 300, Fixed deposit account (12 months) maturing 26 March % 100, Fixed deposit account (12 months) maturing 3 April % 100, Fixed deposit account (12 months) maturing 3 September % 50, Fixed deposit account (24 months) maturing 24 March % 150, Total 550, , , , Total 700, Hardware (IT server) and software acquired have been recognized under office equipment and intangible assets. Items of infrastructure, plant and equipment as well as intangible assets are carried at cost and are depreciated annually at 31 December for an assumed useful life of three to five years. These assets are depreciated pro rata temporis, i.e. depreciation of an asset begins when it is in the location and condition necessary for it to be capable of operating (see also IPSAS 17.59f). A detailed overview of depreciations is contained in the Asset Analysis (Annex 8.2). As per 31 December 2014, accounts receivable from membership contributions for 2014 amounted to EUR 21,817.38, accounts receivable from membership contributions for previous years to EUR 92, Open receivables of associated members amounted to EUR (see Annex 8.4). Other receivables relate to non-paid interest revenue from fixed-term deposit accounts accrued and allocated to 2014 as well as the recovery of conference fees paid in advance. EUR 5, are carried as current receivables (maturity up to 12 months) and EUR as non-current receivables (maturity longer than 12 months). For a distinction between current and non-current, see also IPSAS 1.70f. According to the principle of accrual accounting, two prepayments for credit card fees, travel insurances, the INTOSAI website domain fee, consultation services for the INTOSAI website and a software licence fee were entered and accrued at EUR 1, in Financial statements

25 Provisions of EUR 7, have been made for payments which were incurred in the financial year 2014, but will be due in 2015 (translations of the minutes of the 66 th Governing Board meeting in Vienna, Austria, in November 2014). Prepaid revenue accrued as at 31 December 2014 in the amount of EUR 43, consisted exclusively of membership contributions for the INTOSAI budget received in 2014 or earlier for 2015 and subsequent years (see Annex 8.4). Liabilities consist of liabilities to the International Journal of Government Auditing (IJGA), the Collaboration Tool, the INTOSAI Development Initiative (IDI) and to INCOSAI XXII in This is earmarked revenue from the second half of 2014, and in respect of the XXII Congress 2016 revenue relating to the financial years 2013 and Revenue in 2014 includes revenue from membership dues as well as interest revenue from bank deposits. Accrued interest revenue from fixed term deposits with a maturity (payout) date later than 31 December 2014 (see item ) was allocated to the accounting period 2014 on a pro-rata basis. As these liabilities will de facto be remitted only after the payout of interest revenue after the maturity date, a distinction was made between current and non-current liabilities, given the different maturity periods of fixed term deposits. In the financial statements 2014 the following total liabilities (current and non-current) are recorded: Liability to Current liability Non-current liability in EUR Total IJGA 11, , Collaboration Tool 2, , IDI 2, , XXII INCOSAI , , Other liabilities as at 31 December 2014 in the amount of EUR 4, concern unsettled payments for running expenses arising from the activities of the General Secretariat (translations, postal fees, travel expenses). 25 Financial statements 2014

26 In 2014, three full members of INTOSAI provided grants with a designated purpose: Amounts of voluntary grants in EUR Norway EUR 10, , Saudi Arabia USD 3, , Ecuador USD 10, , Total 19, These voluntary subsidies are not subject to the allocation and distribution pursuant to Chapter II.2 of the INTOSAI Financial Rules (see also item 7.1). As the designated beneficiaries did not make use of the subsidies until 31 December 2014 and as these subsidies were held on a current account established by INTOSAI for that purpose, interests of EUR and bank charges of EUR were generated. This resulted in a reduced amount of EUR as current liability amounting to EUR 19, Receivables from outstanding contributions for 2014 (EUR 21,841.78) and previous years (EUR 92,952.54) were recognized under financial liabilities. In order to ensure a true and fair presentation of any surplus or deficit in net assets/equity, outstanding receivables from assessed contributions are fully offset against provisions for outstanding contributions in the Statement of Financial Position and not booked as revenue. Without this measure the net assets/equity would be higher by EUR 114, Annual result From the Statement of Financial Performance for 2014, a deficit of EUR 28, was allocated to the General Secretariat fund and a profit of EUR 94, was allocated to the Training Activities/Symposia fund. On balance, INTOSAI recorded a profit for the year of EUR 66, (see item III.5), compared to a budgeted annual profit of EUR 29, Statement of Financial Performance Revenue for the year 2014 amounted to EUR 307,505.69, as against budgeted revenue of EUR 298, Budgeted revenue for the year 2014 consisted of membership contributions in the amount of EUR 293, and of interest from bank deposits in the amount of EUR 5, The assessed amounts are subject to some variation, since the classification of INTOSAI s full members in the different Financial statements

27 contribution groups depends on the classification of the country in question in the United Nations contribution scheme. Assessed contributions of full members and associate members for 2014 totalled EUR 305, Based on the contribution scheme that was adopted by the XI Congress of INTOSAI in Manila in 1983 and re-promulgated in Circular 55 (38 th Meeting of the Governing Board in Cairo, Egypt), the XIX Congress of INTOSAI in 2007 in Mexico City, Mexico, decided to raise INTOSAI s membership dues for the first time in its history effective as of 2008 and to amend the percentage ranges in contribution groups I and II. Annex 8.3 contains INTOSAI s current dues system. As per 31 December 2014, revenue from contributions towards the INTOSAI budget was recorded as follows: membership contributions for 2014 in the amount of EUR 284, of which EUR 272, or % from assessed contributions for full members; - of which EUR 11, or 4.18 % from assessed contributions for associate members (see Annex 8.4). outstanding contributions relating to previous years of EUR 17, In order to ensure a true and fair presentation of any surplus or deficit in net assets/equity, outstanding receivables from assessed contributions are fully offset against provisions for outstanding contributions in the Statement of Financial Position and not booked as revenue. Advance payments for subsequent years in the amount of EUR 43, accrued as per 31 December 2014 were allocated to subsequent accounting years. Gross interest revenue in the financial year 2014 amounted to EUR 5,773.45, resulting in net interest revenue of EUR 4,330.34, after deduction of EUR 1, of withholding tax according to Austrian Income Tax Law, articles Interest revenue was allocated to the four chapters, as well as to the Collaboration Tool, to the INTOSAI Development Initiative (IDI) and the coverage of travel expenses of the Director of Strategic Planning according to the defined percentage shares. 27 Financial statements 2014

28 Type of account Name of bank (short form) Gross interest revenue in EUR Withholding tax on interest in EUR Net interest revenue in EUR Current account UniCredit Bank Austria Current account Volksbank Wien-Baden Fixed deposit account Erste Bank Fixed deposit account OEBFA Austrian Treasury 1, , Fixed deposit account BKS Bank Fixed deposit account HYPO-Bank Burgenland Fixed deposit account OEBFA Austrian Treasury Fixed deposit account OEBFA Austrian Treasury Total 5, , , Total expenses from operating activities amounted to EUR 241,290.17, compared to budgeted expenses of EUR 269, Expenses included the following transfers of EUR 106,505.08: EUR 15, for the Collaboration Tool corresponding to 5 % of revenue (after deduction of withholding tax on interest and bank charges), EUR 15, for the INTOSAI Development Initiative (IDI) corresponding to 5 % of revenue (after deduction of withholding tax on interest and bank charges), EUR 15, for Congress corresponding to 5 % of revenue (after deduction of withholding tax on interest), and EUR ,54 for the International Journal of Government Auditing (IJGA) corresponding to 20 % of revenue (after deduction of withholding tax on interest and bank charges). Actual expenses for the chapter General Secretariat amounted to EUR 136, from operating activities compared to budgeted expenses of EUR 160, (including the Collaboration Tool), leaving a balance of unspent appropriations (travel, transport, conference service etc.) of EUR 24, for the activities of the General Secretariat. Actual expenses for the chapter Training Activities/Symposia amounted to EUR 17, (including IDI). Compared to the budgeted expenses of EUR 18, (including IDI, item III.5) expenses declined by EUR 1, (translations). 7.5 Statement of Changes in Equity (Funds) Total net assets/equity are according to INTOSAIs financial rules, rule II.2, divided into portions (funds) of the major activities General Secretariat Operations and Training Activities/Symposia. Financial statements

29 In 2014 the portion (fund) of the major activity General Secretariat Operations decreased by EUR 28, to EUR 364, (see item III.3 and Annex 8.1). In 2014 the portion (fund) of the major activity Training Activities/Symposia increased by EUR 94, to EUR 582, (see item III.3 and Annex 8.1). The portion (fund) of 2014 contains revenues of EUR 4, to cover the travel expenses of the Director of Strategic Planning which have not been used. Net assets/equity of INTOSAI (sum of the funds) increased by EUR 66, to EUR 947, (see item III.3). This reflects the total amount of available liquid assets. 7.6 Cash Flow Statement Net cash flow from operating activities amounted to EUR 79, The cash flow from investment activities of EUR resulted from a short term interest rate after the expiry of fixed term deposits and the re-investment. In the statement of cash flow, this resulted in a net increase in cash and cash equivalents of EUR 79, (item III.4). 29 Financial statements 2014

30 Financial statements

31 IV.8 Supplementary Notes Annex 8.1 Segments for the financial year ended 31 December 2014 (carried out to the second decimal point of EUR) General Secretariat Training Activities/Symposia Congress IJGA SEGMENT REVENUE Contributions (previous, current, voluntary) 90, , , , , , , , , , , , Other revenue Interest 1, , , , , , , , , Collaboration Tool 15, , , Interest Collaboration Tool IDI , , , Interest IDI DSTP travel , , , Interest DSTP travel Total Segment Revenue 107, , , , , , , , , , , , SEGMENT EXPENSES Rewards to staff -1, , , Depreciation -1, , , Travel abroad -46, , , , , , Postage , , IT , , Translation -55, , , , , , Office supplies Printing - -4, , Technical literature Entertainment -8, , , , Bank charges -1, , , Other expenses Transport -2, Training for staff , Travel seminar participants , Accommodation of seminar participants , Conference service -1, , Speaker fees , Withholding tax on interest Customs duty/import sales tax Expenditure for previous periods Allocation to Collaboration Tool -15, , , Withholding tax on interest (Collaboration Tool) Allocation to IDI , , , Withholding tax on interest (IDI) Allocation to provision for Congress , , , Withholding tax on Interest (Congress) Allocation to IJGA , , , Withholding tax on Interest (IJGA) Total Segment Expenses -136, , , , , , , , , , , , Surplus/(Deficit) in Segments -28, , , , , , , Financial statements 2014

32 Financial statements

33 Annex 8.2 Asset Analysis as at 31 December 2014 (carried out to the second decimal point of EUR) Intangible Assets * Office Equipment ** Reporting Period Opening Balance 2, Additions - - Disposals - - Amortisation/Depreciations (as per Statement of Financial Performance) 1, Revaluations (net) - - Closing Balance (as per Statement of Financial Position) 1, Sum of Revaluation Surpluses - - Sum of Revaluation Deficits - - Gross Carrying Amount 9, , Accumulated Amortisation/Depreciation 8, , Net Carrying Amount 1, * Software licences ** IT-Hardware 33 Financial statements 2014

34 Annex 8.3 Contribution Groups for membership contribution assessments for 2014 (as of 2008) INTOSAI/contribution group INTOSAI annual contribution in EUR % range contributed to the UN budget adopted by XIX INCOSAI VII VI V 2, IV 4, III 9, II 15, I 23, The annual membership contribution for associate members corresponds to that of contribution group V. Financial statements

35 Annex 8.4 AS AT 31 DECEMBER 2014 Members OUTSTANDING CONTRIBUTIONS (EUR) ADMINISTRATIVE MEASURES FOLLOWING CURRENT YEAR SITUATION (EUR) YEARS (EUR) Members % of UN- Budget 2014 Contribution Group Before 2014 (subtotal) 2014 TOTAL REMINDER WEBSITE Assessment Payments Outstanding Advance as at 1 July Afghanistan VII Albania VII Algeria V , , Andorra VII X Angola VII X Antigua-Barbuda VII X Argentina V , , Armenia VII X Australia IV , , , Azerbaijan VII Bahamas VII X Bahrain VII Bangladesh VII Barbados VII Belarus VI Belgium V , , Belize VII Benin VII X Bhutan VII X Bolivia VII Bosnia Herzegovina VII Botswana VII Brazil IV , , Brunei VII Bulgaria VII Burkina Faso VII , Burundi VII , Cambodia VII X Cameroon VII Canada IV , , Cap Verde VII Central African Republic VII 8, , , X X Chad VII Chile V , , China III , , , Colombia V , , Congo VII , X X Congo Dem. Rep VII X Cook Islands - VII Costa Rica VII Cote d'ivoir VII X Croatia V X 2, , Cuba VI Cyprus VII Czech Republic V , , Denmark V , , , Financial statements 2014

36 AS AT 31 DECEMBER 2014 OUTSTANDING CONTRIBUTIONS (EUR) ADMINISTRATIVE MEASURES FOLLOWING CURRENT YEAR SITUATION (EUR) YEARS (EUR) Members % of UN- Budget 2014 Contribution Group Before 2014 (subtotal) 2014 TOTAL REMINDER WEBSITE Assessment Payments Outstanding Advance as at 1 July Djibouti VII 2, , , X X Dominica VII 2, , , X X Dominican Rep VII ECA - II , , Ecuador VII X Egypt V , , X 2, , El Salvador VII X X Equat. Guinea VII 8, , , X X Eritrea VII Estonia VII Ethiopia VII Fiji VII Finland V , , France III , , Gabon VII X Gambia VII X Georgia VII Germany III , , Ghana VII Greece V , , Grenada VII X X Guatemala VII Guinea VII 8, , , X X Guinea Bissau VII 3, , , X X Guyana VII X Haiti VII , , X X Honduras VII Hungary V , , Iceland VII India V , , X 2, , Indonesia V X 2, , Iran V 7, , , , , , , , X X 2, , Iraq VI X Ireland V , , , Israel V , , Italy III , , Jamaica VII Japan III , , Jordan VII Kazakhstan V , , Kenya VII Kiribati VII Korea IV , , Kuwait V , , Kyrgyzstan VII Lao People's Democratic Republic VII X Latvia VII Financial statements