Australian Government General Government Sector Monthly Financial Statements May 2016

Friday, 24 June 2016

AGGREGATES	ACTUAL 2015-2016 May $m	ACTUAL 2015-2016 YTD May $m	Revised Monthly^ Profile 2015-2016 YTD May $m	Revised Budget ESTIMATE* 2015-2016 Full Year $m
Revenue	40,456	360,209	358,892	396,396
Expenses	35,909	388,061	390,375	431,470
Net operating balance	4,547	-27,852	-31,484	-35,074
Net capital investment	1,342	2,759	3,291	4,355
Fiscal balance	3,204	-30,611	-34,775	-39,429
Receipts(a)	38,905	349,860	349,794	388,027
less Payments(b)	34,558	381,905	384,311	424,961
less Net Future Fund earnings	224	2,814	2,710	3,012
Underlying cash balance(c)	4,124	-34,860	-37,227	-39,946
Headline cash balance	3,093	-43,530	-47,321	-51,487
Total assets		488,067		465,421
Total liabilities		831,956		730,448
Net worth(d)		-343,889		-265,027
Net debt(e)		284,657		285,684

_{*As published in the 2016-17 Budget.

^Based on the previous profile, adjusted for significant changes in the 2016-17 Budget.

(a) Cash receipts for operating activities and sales of non-financial assets.

(b) Cash payments for operating activities, purchases of non-financial assets and net acquisition of assets under finance leases.

(c) Excludes net Future Fund earnings. Consistent with Budget documents, the net adjustment for the Future Fund is shown separately.

(d) Net worth is calculated as total assets minus total liabilities.

(e) Net debt equals the sum of deposits held, government securities, loans and other borrowing, minus the sum of cash and deposits, advances paid, and investments, loans and placements.}

Care needs to be taken when comparing monthly or cumulative data across years and to full-year estimates, as revenues and expenses vary from month to month.

Australian Government general government sector operating statement

	Note	ACTUAL 2015-2016 May $m	ACTUAL 2015-2016 YTD May $m	Revised Monthly Profile^ 2015-2016 YTD May $m	Revised Budget ESTIMATE* 2015-2016 Full Year $m
Revenue
Taxation revenue	1, 2	38,615	340,866	339,702	371,923
Sales of goods and services		688	7,142	6,979	7,697
Interest income		271	3,120	3,137	3,506
Dividend income		329	2,638	2,238	5,564
Other		551	6,443	6,836	7,706
Total revenue		40,456	360,209	358,892	396,396
Expenses
Gross operating expenses
Wages and salaries(a)		1,695	17,118	17,480	19,767
Superannuation		529	5,659	5,575	7,052
Depreciation and amortisation		499	6,429	6,464	7,165
Supply of goods and services		7,371	76,085	76,792	81,414
Other operating expenses(a)		671	5,516	5,045	5,483
Total gross operating expenses		10,764	110,808	111,357	120,881
Superannuation interest expense		769	8,463	8,430	9,167
Interest expenses		1,455	15,282	15,300	16,774
Current transfers
Current grants		10,450	112,197	114,347	128,393
Subsidy expenses		1,054	11,547	11,471	12,763
Personal benefits		10,763	120,897	121,348	133,416
Total current transfers		22,267	244,641	247,166	274,572
Capital transfers
Mutually agreed write-downs		37	1,365	1,497	1,722
Other capital grants		616	7,501	6,625	8,354
Total capital transfers		654	8,866	8,122	10,076
Total expenses	3	35,909	388,061	390,375	431,470
Net operating balance		4,547	-27,852	-31,484	-35,074
Other economic flows
- included in operating result(b)
Net write-downs of assets (including bad and doubtful debts)		2,300	-9,568	-5,683	-7,106
Assets recognised for the first time		-24	289	323	296
Liabilities recognised for the first time		0	0	0	0
Actuarial revaluations		0	0	0	0
Net foreign exchange gains		-1,136	-1,083	-40	-9
Net swap interest received		57	-200	-257	-437
Market valuation of debt		-5,291	-10,961	-4,992	-4,673
Other gains/(losses)		695	5,804	5,601	713
Total other economic flows - included in operating result		-3,399	-15,719	-5,048	-11,215
Operating result		1,147	-43,570	-36,532	-46,289
Non-owner movements in equity(b)
Revaluation of equity investments(c)		86	106	-599	-3,026
Actuarial revaluations		0	0	0	1,032
Other economic revaluations(d)		2,269	1,924	3,181	371
Total other economic flows - included in equity		2,354	2,030	2,582	-1,623
Comprehensive result - Total change in net worth		3,502	-41,540	-34,200	-47,912
Net operating balance		4,547	-27,852	-31,484	-35,074
Net acquisition of non-financial assets
Purchases of non-financial assets		1,733	9,201	9,367	11,559
less Sales of non-financial assets		23	389	366	404
less Depreciation		499	6,429	6,164	7,165
plus Change in inventories		141	226	401	310
plus Other movements in non-financial assets		-10	149	53	56
Total net acquisition of non-financial assets		1,342	2,759	3,291	4,355
Fiscal balance (Net lending/borrowing)(e)		3,204	-30,611	-34,775	-39,429

_{*As published in the 2016-17 Budget.

^Based on the previous profile, adjusted for significant changes in the 2016-17 Budget.

(a) Consistent with Australian Bureau of Statistics' (ABS) Government Finance Statistics (GFS) classification, other employee related expenses are reported under other operating expenses. Total employee expenses equal wages and salaries plus other operating expenses.

(b) The presentation of other economic flows has changed to align more closely with Australian Accounting Standard AASB 1049.

(c) Reflects changes in the market valuation of investments and any revaluations at the point of disposal or sale.

(d) Largely reflects other revaluation of assets and liabilities.

(e) The term fiscal balance is not used by the ABS.}

Australian Government general government sector balance sheet

	ACTUAL as at 31 May 2016 $m	Revised Budget ESTIMATE* as at 30 June 2016 $m
Assets
Financial assets
Cash and deposits	3,562	3,512
Advances paid	50,515	52,782
Investments, loans and placements	172,294	153,233
Other receivables	50,087	48,492
Equity investments
Investments in other public sector entities	48,746	44,798
Equity accounted investments	302	344
Investments - shares	40,231	39,394
Total financial assets	365,738	342,555
Non-financial assets
Land	10,361	9,729
Buildings	25,357	25,992
Plant, equipment and infrastructure	59,468	59,692
Inventories	8,334	8,195
Intangibles	6,758	6,881
Investment property	205	200
Biological assets	35	44
Heritage and cultural assets	11,366	11,697
Assets held for sale	98	174
Other non-financial assets	347	262
Total non-financial assets	122,329	122,866
Total assets	488,067	465,421
Liabilities
Interest bearing liabilities
Deposits held	216	218
Government securities	492,858	476,999
Loans	16,229	16,425
Other borrowing	1,727	1,569
Total interest bearing liabilities	511,029	495,211
Provisions and payables
Superannuation liability(a)	255,130	169,308
Other employee liabilities	17,475	17,004
Suppliers payable	5,319	5,868
Personal benefits provisions and payable	12,720	14,446
Subsidies provisions and payable	5,188	4,908
Grants provisions and payable	10,231	10,466
Other provisions and payables	14,863	13,237
Total provisions and payables	320,927	235,237
Total liabilities	831,956	730,448
Net worth(b)	-343,889	-265,027
Net financial worth(c)	-466,218	-387,893
Net financial liabilities(d)	514,964	432,691
Net debt(e)	284,657	285,684

_{*As published in the 2016-17 Budget.

(a) For budget reporting purposes, a discount rate applied by actuaries in preparing Long Term Cost Reports is used to value the superannuation liability. This reduces the volatility in reported liabilities that would occur from year to year if the long-term government bond rate were used. Consistent with Australian Accounting Standards, the long-term government bond rate as at 30 June is used to calculate the superannuation liability for the purpose of actuals reporting.

(b) Net worth is calculated as total assets minus total liabilities.

(c) Net financial worth equals total financial assets minus total liabilities.

(d) Net financial liabilities equals total liabilities less financial assets other than investments in other public sector entities.

(e) Net debt equals the sum of deposits held, government securities, loans and other borrowing, minus the sum of cash and deposits, advances paid, and investments, loans and placements.}

Australian Government general government sector cash flow statement^(a)

	ACTUAL 2015-2016 May $m	ACTUAL 2015-2016 YTD May $m	Revised Monthly Profile^ 2015-2016 YTD May $m	Revised Budget ESTIMATE* 2015-2016 Full Year $m
Cash receipts from operating activities
Taxes received	36,195	329,600	328,614	364,507
Receipts from sales of goods and services	908	6,605	6,624	7,686
Interest receipts	246	2,382	2,488	2,842
Dividends and income tax equivalents	1,157	5,161	5,009	5,332
Other receipts	345	5,780	6,626	7,321
Total operating receipts	38,851	349,528	349,360	387,688
Cash payments for operating activities
Payments for employees	-2,153	-24,330	-25,168	-27,893
Payments for goods and services	-6,832	-74,911	-76,648	-80,834
Grants and subsidies paid	-12,474	-131,687	-132,902	-149,656
Interest paid	-888	-14,084	-13,958	-14,822
Personal benefit payments	-10,696	-123,117	-122,229	-134,887
Other payments	-433	-5,205	-4,837	-5,308
Total operating payments	-33,476	-373,335	-375,743	-413,400
Net cash flows from operating activities	5,375	-23,807	-26,382	-25,712
Cash flows from investments in non-financial assets
Sales of non-financial assets	54	332	434	339
Purchases of non-financial assets	-1,018	-8,447	-8,567	-11,559
Net cash flows from investments in non-financial assets	-963	-8,114	-8,133	-11,221
Net cash flows from investments in financial assets for policy purposes	-1,254	-11,485	-10,094	-14,553
Cash flows from investments in financial assets for liquidity purposes
Increase in investments	-18,621	-27,749	-23,078	-9,396
Net cash flows from investments in financial assets for liquidity purposes	-18,621	-27,749	-23,078	-9,396
Cash flows from financing activities
Borrowing (net)	15,310	74,146	70,722	63,753
Other financing (net)	-176	-2,584	-2,572	-2,516
Net cash flows from financing activities	15,134	71,562	68,150	61,238
Net increase/(decrease) in cash held	-330	407	463	356
Net cash flows from operating activities and investments in non-financial assets (Surplus(+)/deficit(-))	4,411	-31,922	-34,516	-36,933
Finance leases and similar arrangements(b)	-64	-123	-1	-2
GFS cash surplus(+)/deficit(-)	4,347	-32,045	-34,517	-36,934
less Net Future Fund earnings	224	2,814	2,710	3,012
Equals underlying cash balance(c)	4,124	-34,860	-37,227	-39,946
plus Net cash flows from investments in financial assets for policy purposes	-1,254	-11,485	-12,804	-14,553
plus Net Future Fund earnings	224	2,814	2,710	3,012
Equals headline cash balance	3,093	-43,530	-47,321	-51,487

_{*As published in the 2016-17 Budget.

^Based on the previous profile, adjusted for significant changes in the 2016-17 Budget.

(a) A positive number denotes a cash inflow; a negative sign denotes a cash outflow.

(b) The acquisition of assets under finance leases decreases the underlying cash balance.The disposal of assets previously held under finance leases increases the underlying cash.

(c) The term underlying cash balance is not used by the Australian Bureau of Statistics.}

Note 1: Income Tax

	ACTUAL 2015-2016 May $m	ACTUAL 2015-2016 YTD May $m	Revised Monthly Profile^ 2015-2016 YTD May $m	Revised Budget ESTIMATE* 2015-2016 Full Year $m
Individuals and other withholding taxes
Gross income tax withholding	15,053	160,343	160,362	175,510
Gross other individuals	7,027	41,116	40,695	44,850
less Refunds	1,637	27,075	26,920	27,800
Total individuals and other withholding taxation	20,442	174,384	174,137	192,560
Fringe benefits tax	279	4,440	4,589	4,590
Company tax	7,802	59,185	58,797	65,000
Superannuation funds	556	6,613	6,483	6,710
Resource rent taxes	0	711	702	840
Total income taxation revenue	29,080	245,333	244,708	269,700

_{*As published in the 2016-17 Budget.

^Based on the previous profile, adjusted for significant changes in the 2016-17 Budget.}

Note 2: Indirect Tax

	ACTUAL 2015-2016 May $m	ACTUAL 2015-2016 YTD May $m	Revised Monthly Profile^ 2015-2016 YTD May $m	Revised Budget ESTIMATE* 2015-2016 Full Year $m
Goods and services tax	5,533	56,722	56,879	60,040
Wine equalisation tax	76	804	803	880
Luxury car tax	60	560	542	590
Excise duty	2,006	19,870	19,700	21,423
Customs duty	1,393	12,467	12,046	13,430
Other indirect tax	468	5,110	5,025	5,860
Total indirect taxation revenue	9,536	95,533	94,995	102,223

_{*As published in the 2016-17 Budget.

^Based on the previous profile, adjusted for significant changes in the 2016-17 Budget.}

Note 3: Total expenses by function

	ACTUAL 2015-2016 May $m	ACTUAL 2015-2016 YTD May $m	Revised Budget ESTIMATE* 2015-2016 Full Year $m
Expenses by function
General public services	1,913	18,965	23,967
Defence	2,386	24,756	25,986
Public order and safety	412	4,331	4,958
Education	1,864	29,801	32,515
Health	6,701	62,944	69,172
Social security and welfare	12,259	139,377	152,838
Housing and community amenities	498	4,001	4,865
Recreation and culture	274	2,992	3,512
Fuel and energy	552	6,037	6,528
Agriculture, Forestry and Fishing	174	1,771	2,768
Mining, manufacturing and construction	315	3,112	3,650
Transport and communication(a)	804	5,056	8,647
Other economic affairs	505	8,076	9,626
Other purposes
Public debt interest	1,282	14,101	15,376
Nominal superannuation interest	769	8,463	9,167
General purpose inter-government transactions	5,199	54,277	59,380
Natural disaster relief	0	0	49
Contingency reserve	0	0	-1,536
Total expenses	35,909	388,061	431,470

_{*As published in the 2016-17 Budget.}

NOTES:

Australian Accounting Standard 1049

The Australian Government monthly financial statements have been prepared on a basis consistent with the Budget as required under section 47 of the Public Governance, Performance and Accountability Act 2013. The statements are prepared in accordance with the Australian Accounting Standards Board 1049 – Whole of Government and General Government Sector Financial Reporting (AASB 1049), which require treatment based on the Australian Bureau of Statistics’ (ABS) Government Finance Statistics (GFS) except where Australian Accounting Standards (AAS) provide a better conceptual treatment for specific items. Departures are limited to complying with either ABS GFS or AAS.

Taxation Revenue

While total tax collections are known with certainty at the end of each month, the distribution across the relevant heads of revenue cannot be finalised until all business activity statements are received and processed. The outcomes for some revenue items provided in this statement are therefore estimates, in accordance with the best judgement of the Commissioner of Taxation, and subject to revision. The taxation revenue items not affected are: petroleum resource rent tax, excise duty, customs duty, other taxes and individuals refunds.

Style Conventions

Figures in tables and generally in the text have been rounded. Discrepancies in tables between totals and sums of components are due to rounding.

International Monetary Fund Special Data Dissemination Standards

The Government is committed to releasing the monthly financial statements in a timely fashion and will endeavour to do so in accordance with International Monetary Fund (IMF) Special Data Dissemination Standards (SDDS). Under these standards the timeframe for releasing the monthly financial statements is by the end of the following month. Australia applies a special flexibility option which allows it to publish late the last and first month of a financial year.

In accordance with the IMF SDDS, the approximate date of release of the data on debt guaranteed by the Australian Government (central government), is given on the IMF’s Data Dissemination Advance Release Calendar http://dsbb.imf.org. Monthly and quarterly data on debt guaranteed by the Australian Government (central government) that meet the coverage and timeliness requirements of the SDDS are published on the Australian Office of Financial Management website at http://aofm.gov.au/cgs-quarterly/quarterley-data-march-2016/.

Electronic access to monthly financial statements

The Australian Government general government sector monthly financial statements and the historical series are available in electronic format at: http://data.gov.au/dataset/australian-government-general-government-sector-monthly-financial-statements-tables-and-data.