In terms of Section 59(b)(i) of the Community Schemes Ombud Service Act No 9 of 2011 (CSOS Act) and Regulation 18(2)(a)(i) all community schemes (Schemes) must file their annual returns with the Community Scheme Ombud Service (CSOS) within 4 (four) months after the end of the community scheme’s financial year.
The CSOS quality assures annual returns received from the Schemes in order to
ensure ongoing compliance with good governance frameworks as prescribed by the CSOS in terms of its Practice Directives, the CSOS Act as well as the Sectional Titles Schemes Management Act No 8 of 2011 (STSMA) and its subordinate Regulations.
In the recent past, the CSOS has been seized with annual returns for a few years in respect of certain Schemes. The purpose of the review of these annual returns is to determine compliance during the current year or immediate past financial year. Consequently, the CSOS has decided that it will only process annual returns submitted from the 1 April 2021 onwards and will not quality assure nor process any annual returns submitted prior to this date.
The reason for only processing the current Annual Returns is that compliance is assessed for a specific period and any annual returns received prior to this date would be obsolete and no longer relevant to the current period of review.
If the Scheme is found to be compliant, the Chief Ombud, will issue a section 59(b)(i) compliance certificate, which will be valid for the period in which it was submitted.
Non-compliant Schemes will be notified and issued with a non-compliant
letter and be required to comply within a specified period.
The CSOS will peruse the list of non-compliant Schemes from the Independent
Regulatory Board of Auditors (IRBA) and notify those Schemes which are non-
compliant and issue a non-compliance letter.
The CSOS will enforce the compliance and enforcement policy against non-compliant Schemes.
The administrative process that must be followed is as follows:
(a) The Schemes must complete the application for the Annual Returns Form (Form CS2).
(b) Form CS2 can be completed online or downloaded from the CSOS website at www.csos.org.za. Alternatively, the form can be obtained at any of the CSOS offices nationwide.
(c) The completed form can be submitted to CSOS either online, by post, email, or hand delivery to any of the CSOS’s Regional Offices. The email address is email@example.com. Other contact details can be downloaded from the CSOS website.
(d) A list of supporting documents can be found attached to the Practice Directive for Annual Returns which can be found on our website at www.csos.org.za.
(e) The applicant bears the onus of ensuring that all relevant information is submitted in the correct manner. The CSOS cannot complete the forms on behalf of Schemes unless the scheme executives are illiterate or physically impaired.
(f) The form together with the attachments as per the Practice Directive on Annual Returns may either be typed or handwritten. If typed, the font must be clear. Handwritten applications must be clear and legible.
(g) If the form is not clear and legible, whether typed or handwritten, the applicant will be requested to submit a revised application that is clear and legible.
For Immediate Release