Actsafe Safety Association
Notes to the Financial Statements
December 31, 2017
1.
Organization and economic dependence
Actsafe Safety Association (the “Association”) was incorporated under the Society Act (British Columbia) on
March 23, 1998. The Association’s mandate is to promote health and safety in the motion picture, theatre,
music and other performing arts industries.
The Association is exempt from income taxation pursuant to Section 149 of the Income Tax Act (Canada) as
long as certain criteria continue to be met.
The Association is funded by the employers in B.C.’s motion picture and performing arts industries through a
levy on their WorkSafe BC assessments. These funds provide the operating funding for the Association’s
work as an industry‐funded industry safety association. A change in this funding structure could have a
significant impact on the Association’s future operations.
2.
Significant accounting policies
Basis of presentation
These financial statements have been prepared in accordance with Canadian accounting standards for not‐
for‐profit organizations which necessarily involves the use of estimates. The financial statements have, in
management’s opinion, been properly prepared within reasonable limits of materiality and within the
framework of significant accounting policies summarized below.
Use of estimates
The preparation of financial statements in conformity with Canadian accounting standards for not‐for‐profit
organizations requires management to make estimates and assumptions that affect the reported amount of
assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements
and the reported amount of revenue and expenses during the reporting period. Actual results may differ
from those estimates.
Revenue recognition
Funding received under terms of agreements is recognized as revenue in the year in which the related
expenses are incurred.
Revenue from WorkSafe BC is recognized when invoiced by the Association in accordance with the funding
agreement with WorkSafe BC. Payments from WorkSafe BC received in advance of the fiscal year to which
they relate are recorded as deferred revenue.
Revenue from course fees is recognized on the delivery of the courses to attendees.
Investment and other revenue are recorded when earned and when collection is believed to be reasonably
assured.
Cash and cash equivalents
Cash and cash equivalents consist of cash and guaranteed investment certificates with a maturity of less than
90 days at the time of purchase.
Deferred lease inducements
Lease inducements received are deferred and amortized on a straight‐line basis over five years, being the
term of the lease on the Association’s premises, and is offset against rent expense.