Banking Options

REFUNDS TO PRACTITIONERS – TRUST ACCOUNTS COSTS

Practitioners are entitled to reclaim from the Fund (via their Law Society) their trust account bank charges and the cost of their trust audit fees.

The Fund has noted that the average cost of a trust audit has increased significantly, as a result of the introduction of the improved audit procedures by the auditing profession.

The audit fee refund formula was amended with effect from 1 March 2012, to reflect:

  • An increase in the minimum contribution of R2500 per firm to a new level of R3000 per firm.
  • The maximum contribution remains at 20% of net trust interest.

Practitioners are entitled to a 100% refund of their trust account bank charges subject to:

  • Compliance with the preferential banking arrangements for trust banking accounts, as shown on the Fund’s website under banking options.

Sufficient trust interest being generated by a firm to defray such bank charges

GUIDELINES TO SUBMITTING A REFUND CLAIM

The following comments are made to assist practitioners in obtaining their refunds without undue delay.

  • Claim forms may be obtained from the law societies or downloaded from the Fund’s website.
  • Completed claims must be submitted to your law society.
  • Ensure that the correct supporting documentation accompanies the claim form. The auditor’s invoice must specify that the fee is in respect of the trust audit, and specify the period audited.
  • The Fund will pay electronically (where the business account banking details section of the claim form has been completed) and confirm payment by e-mail or fax. In all other instances payment will be effected by cheque.
  • The Fund has a turnaround time of five working days following receipt of approved claims from the law societies. Should you not have received payment within a reasonable period, contact your law society as there may be outstanding requirements to be complied with.

Provide your auditor with a copy of this article.

DOWNLOAD A REFUND APPLICATION FORM

The forms are available for downloading in English and Afrikaans, as follows:

  1. The refund claim form effective from 1 March 2006 to 28 February 2008. Click here to download this form.
  2. The refund claim form effective from 1 March 2008. Click here to download this form.
  3. The refund claim form effective from 1 March 2010. Click here to download this form.
  4. The refund claim form effective from 1 March 2012. Click here to download this form.