Financial Statements | State Revenue Office

Operating statement

For the year ended 30 June 2019	2018-19 $'000	2017-18 $'000
Income from transactions
Revenue from government*	131,806	107,293
Sales of goods and services	790	765
Payments to consolidated fund	(256)	(822)
Total income from transactions	132,340	107,236
Expenses from transactions
Employee benefits	60,009	57,877
Supplies and services	60,771	23,191
Depreciation and amortisation	2,188	19,586
Grants and other transfers	5,157	5,031
Capital asset charge	281	11
Interest expenses	7	6
Total expenses from transactions	128,413	105,702
Net result from transactions	3,927	1,534
Other economic flows in net result
Net gains / (losses) on financial instruments	(7)	(8)
Net gains / (losses) on non-financial assets	4	(17)
Other gains / (losses) on other economic flows	(1,226)	27
Total other economic flows in net result	(1,229)	2
Net surplus / (deficit) for reporting period	2,698	1,536
_{* Revenue from government represents the output budget allocated to the State Revenue Office}

The increase of $2.132 million in employee benefits was mainly due to the commencement of additional compliance programs and the implementation of new legislative initiatives.
The decrease of $17,397 million in depreciation and amortisation was mainly due to the change of municipal valuation cycle from a 2-year cycle to a yearly cycle. Payments made to local councils and Valuer-General are no longer capitalised as an asset but directly charged to an expense account.
Grants and other transfers consists of payments made to municipal councils in relation to the administration of the fire services property levy, which were based on the Treasurer’s determination under section 70 of the Fire Services Property Levy Act 2012.
Expenses from transactions exclude $0.659 million in relation to the administration of the growth areas infrastructure contribution and metropolitan planning levy, which were run through Treasury Trust.

As at 30 June 2019	2018-19 $'000	2017-18 $'000
Financial assets
Cash assets	2	2
Receivables	48,688	34,859
Total financial assets	48,690	34,861
Non-financial assets
Inventories	12	20
Plant, property and equipment	552	692
Intangible assets	10,086	8,264
Other	2,756	2,226
Total non-financial assets	13,406	11,202
Total assets	62,096	46,063
Liabilities
Payables	24,256	11,043
Interest-bearing liabilities	331	253
Provisions	19,692	16,810
Total liabilities	44,279	28,106
Net assets	17,817	17,957

Receivables	2018-19 $'000	2017-18 $'000
Amounts owing from Victorian Government	48,118	34,049
GST input tax credit recoverable	554	254
Other receivables	16	556
Total receivables	48,688	34,859

Written-down value of property, plant and equipment	2018-19 $'000	2017-18 $'000
Computer equipment	464	569
Plant, furniture and equipment	15	20
Leasehold improvements / fitouts	73	103
Total written-down value of plant, property and equipment	552	692

Written-down value of intangible assets	2018-19 $'000	2017-18 $'000
Other intangible produced assets*	6,101	5,789
Work in progress*	3,985	2,475
Total written-down value of intangible assets	10,086	8,264
_{* Capitalised and uncapitalised expenditure on e-Sys Life Extension Project}

Other non-financial assets	2018-19 $'000	2017-18 $'000
Prepayments	2,438	1,994
Motor vehicle leased	318	232
Total other non-financial assets	2,756	2,226

Interest-bearing liabilities	2018-19 $'000	2017-18 $'000
Current liabilities
Motor vehicle leases	118	153
Total current liabilities	118	153
Non-current liabilities
Motor vehicle leases	213	100
Total non-current liabilities	213	253
Total interest-bearing liabilities	331	253

Provisions	2018-19 $'000	2017-18 $'000
Current provisions
Annual leave	3,649	3,411
Long service leave	12,380	10,023
Other employee entitlements	2,141	1,812
Total current provisions	18,170	15,246
Non-current provisions
Long service leave	1,522	1,564
Total non-current provisions	1,522	1,564
Total provisions	19,692	16,810

Administered revenues	2018-19 $'000	2017-18 $'000
Payroll tax	7,003,524	6,638,272
Duties*	7,398,484	8,240,995
Land tax	3,513,966	2,560,423
Congestion levy	111,336	103,151
Growth areas infrastructure contribution	282,930	264,607
Metropolitan planning levy	20,314	23,025
Fire services property levy	647,687	694,090
Commercial passenger vehicle service levy	48,434	-
Wagering and betting tax	47,972	-
Licence fees	24,048	23,750
Total	19,098,695	18,548,313
Less: Cattle Compensation Fund	(4,470)	(4,228)
Less: Swine Compensation Fund	(180)	(192)
Less: Sheep and Goat Compensation Fund	(1,182)	(1,404)
Add: Unclaimed money receipts	109,302	92,474
Add: User charges	3,791	3,916
Add: Sundry income	241	422
Total administered revenues	19,206,197	18,639,301
_{* Includes Cattle Compensation Fund, Swine Compensation Fund and Sheep and Goat Compensation Fund}

Administered expenses	2018-19 $'000	2017-18 $'000
First Home Owner Grant	178,115	157,336
First home bonus	87	(205)
Liquor subsidies	4,345	3,810
Other grants, rebates and other payments	38,268	29,907
Unclaimed money refunds	16,597	17,818
Bad and doubtful debts	30,042	26,175
Total administered expenses	267,454	234,841
Net administered revenues	18,938,743	18,404,460

Tax and duty revenue increased by $550 billion to $19,098 billion. This included:
- a decrease of $924 million in land transfer duty,
- an increase of $953 million in land tax,
- an increase of $365 million in payroll tax.
The fire services property levy decreased by $46 million, mainly due to a reduction in the variable levy rates.
Unclaimed money receipts represent monies transferred to the Registrar under the Unclaimed Money Act and the Gambling Regulation Act. There was an increase of $16 million in the 2018-19 financial year.
The First Home Owner Grant increased by $20 million, mainly due to an increase in the number of applications.
Other grants, rebates and other payments increased by $8, million mainly due to an increase in ex gratia payments of $6 million.
The $3 million increase in bad and doubtful debts was made up of a decrease of $2 million in bad debts and an increase of $5 million in the provision for doubtful debts.