- Anybody who operates a real estate trust account in Queensland, needs to be audited. Even if you only have one property under management or one sale, you still have to meet the OFT requirements for operating a trust account.
- The frequency of audits will then depend upon how long you have been operating in business.
- Three times a year for real estate trust accounts (which is the type of account held by management rights).
- In the 1st year of operations, you might need less depending upon when you opened your trust account. Please check with your auditor.
- When you have leasebacks you don’t actually have an agency arrangement with the owner anymore – so you should direct rent deposits to your general account and pay the guaranteed rental to the owner from your general account. You don’t need the agency forms completed either. However, if you would rather have leasebacks in your rental pool then you need to create an agent – another company or sole trader associated with you who has their own real estate agents licence.
- Let the OFT know immediately. Appoint an auditor. If the auditor can’t come out quickly, apply for a 30 day deferment with the OFT. Ask the Auditor to confirm with the OFT that they are now engaged as your Auditor. There are penalties for late lodgment but you may not lose your licence.
