Page 312 - SAMRC AnnualReport 2025-26

ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2026
SIGNIFICANT ACCOUNTING POLICIES
(CONTINUED)

1.28 Budget information

General purpose financial reporting by entity shall provide information on whether resources were
obtained and used in accordance with the legally adopted budget.

The approved budget is prepared on a accrual basis and presented by functional classification linked to
performance outcome objectives.

The approved budget covers the fiscal period from 01-Apr-25 to 31-Mar-26.
The annual financial statements and the budget are on the same basis of accounting therefore a
comparison with the budgeted amounts for the reporting period have been included in the Statement
of comparison of budget and actual amounts.

The Statement of comparative and actual information has been included in the annual financial
statements as the recommended disclosure when the annual financial statements and the budget are
on the same basis of accounting as determined by National Treasury. The Statement of comparison
of budget and actual amounts is presented for the revenue and expenses as this is the information
submitted to the Executive Authority. The Annual Performance Plan (APP) on the SAMRC website reflect
the 2025/2026 approved budget.

Comparative information is not required.
1.29 Related parties

The entity operates in a sector currently dominated by entities directly or indirectly owned by the South
African Government. As a consequence of the constitutional independence of the three spheres of
government in South Africa, only entities within the national sphere of government and are in the same
economic entity (having the same executive authority) are considered to be related parties.

Management are those persons responsible for planning, directing and controlling the activities of
the entity, including those charged with the governance of the entity in accordance with legislation, in
instances where they are required to perform such functions.

Close members of the family of a person are those family members who may be expected to influence,
or be influenced by that person in their dealings with the entity.

Transactions with related parties are disclosed.
Where those charged with governance are employed by an entity receiving funding or doing business
with SAMRC which do not meet the definition of a related party in terms of GRAP 20 these relationships
are separately disclosed in the Annual Report.
1.30 Living and non-living resources

Living resources are those resources that undergo biological transformation.

Non-living resources are those resources, other than living resources, that occur naturally and have not
been extracted.

Agricultural activity is the management by an entity of the biological transformation and harvest of
biological assets for:

(a) sale;
(b) distribution at no charge or for a nominal charge; or
(c) conversion into agriculture produce or into additional biological assets for sale or distribution at no
charge or for a nominal charge.

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