AUSTRALIAN ACCESS FEDERATION INCORPORATED ABN 13 155 355 685 NOTES TO AND FORMING PART OF THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2016 NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Preparation The Committee has determined that the Association is not a reporting entity because there are no users dependent on a general purpose financial report. The Association is a not-for-profit entity for Australian Accounting Standards. The financial statements are special purpose financial statements prepared for the purpose of complying with the NSW Associations Incorporation Act 2009 and to satisfy the financial reporting requirements of the constitution and to meet the needs of the members of the Association. The financial statements have been prepared on the basis of a Tier 1 association and the financial reporting exemptions provided by Class Order 11/01. The Association is a medium registered charity and is subject to the ACNC reporting requirements. The financial statements have been prepared in accordance with the mandatory Australian Accounting Standards applicable to entities reporting under the Tier 1 association exemption provided by Class Order 11/01 and the significant accounting policies disclosed below, which the committee members have determined are appropriate to meet the needs of members. The financial report, except for the statement of cash flows, is prepared on an accruals basis and is based on historical costs and does not take into account changing money values or, except where stated, current valuations of non-current assets. Cost is based on the fair values of the consideration given in exchange for assets. The amounts presented in the financial statements have been rounded to the nearest dollar. The following is a summary of the significant accounting policies adopted by the Association in the preparation of the financial report. These policies are consistent with the previous year unless stated otherwise. (a) Income Tax: The income of the Association is exempt from income tax under Division 50-5 of Income Tax Assessment Act 1997 - 6 - Income Statements 27