An agency is clearing out old files. How long must it keep its trust account records and its trust account auditor's reports?
Correct Answer
A) At least 3 years
Section 104 of the Property and Stock Agents Act 2002 requires licensee records to be kept for at least 3 years after they are made, and s 111(3) requires auditor's reports to be kept for at least 3 years. NSW Government guidance confirms records can be kept in hard copy or electronically.
Why This Is the Correct Answer
Both provisions set a minimum retention of 3 years.
Why the Other Options Are Wrong
Background Knowledge for Finance Taxation
Exam Tip for Finance Taxation
Common Mistakes to Avoid on Finance Taxation Questions
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- → An agency records every sales deposit it holds in a single ledger headed 'Sales deposits'. What does the Regulation require instead?
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