Annual Report 2009 (PDF 2 MB) - Wellington Institute of Technology

Rendering of servicesRevenue from a contract to provide services is recognised by reference to the stage of completion of the contract atthe balance sheet date.Interest revenueInterest revenue is recognised on a time-proportionate basis that takes into account the effective yield on thefinancial asset.TaxationTertiary institutions are exempt from payment of income tax, as they are treated by the Inland Revenue Department ascharitable organisations. Accordingly, no income tax is provided for.CHANGES IN ACCOUNTING POLICIESThere have been no changes in accounting policies in 2009. (2008, no changes.)ACCOUNTING STANDARDS IN ISSUEThe following Standard was in issue but not yet effective as at 31 December 2009:FINANCIAL STATEMENTSSTANDARD/INTERPRETATIONEFFECTIVE DATENZ IAS 24 Amendment - Related Party Disclosures Annual periods commencing onor after 1 January 2011The amendments to NZ IAS 24 will be adopted by Wellington Institute of Technology for the first time for its financialreporting period ending 31 December 2011. The amendment to NZ IAS 24 simplifies the definition of a related party,clarifying its intended meaning and eliminating inconsistencies from the definition. The amendment is not expectedto have any impact on the Wellington Institute of Technology’s accounting policies.WELLINGTON INSTITUTE OF TECHNOLOGY | 2009 ANNUAL REPORT33