Financial Capitalisation Threshold
Councils in some (all?) states are required by legislation to set an amount below which the value of a non-current asset must be treated as an expense. This amount is sometimes referred to as the "Financial Capitalisation Threshold".
Related Legislation
Queensland Local Government Finance Standard 2005 (Section 43).
Typical Financial Capitalisation Threshold Values
The members of the Wide Bay Burnett Asset Management Group have adopted the following financial capitalisation threshold values.
Non-network Assets (excluding land)
- Bundaberg Regional Council - $10,000
- Fraser Coast Regional Council - $?,000
- Gympie Regional Council - $5,000
- North Burnett Regional Council - $?,000
- South Burnett Regional Council - $5,000
Land
- Bundaberg Regional Council - $1
- Fraser Coast Regional Council - $?,000
- Gympie Regional Council - $1
- North Burnett Regional Council - $?,000
- South Burnett Regional Council - $?,000
Network Assets
- Bundaberg Regional Council - $?,000
- Fraser Coast Regional Council - $?,000
- Gympie Regional Council - $5,000
- North Burnett Regional Council - $?,000
- South Burnett Regional Council - $1,500
