Reporting and financial transactions are essential to running a business. They assist companies in complying with legal requirements and regulations. Public companies, for instance, are required to submit reports to governing bodies, such as the Securities Exchange Commission to prove that they follow accounting regulations for financials. They also submit tax return to their tax authority to prove they adhere to the corporation tax laws.
The reporting a company does helps to identify cash inflows and outflows, which allows the business to plan for the future and anticipate threats and opportunities. Finance teams also have a duty to inform businesses about the potential risks and issues. This includes helping business recognize the importance of cash flow and how it’s tracked.
It is crucial to have a precise description of each transaction. This is especially important when creating documents like cash statements, deposit modifications and requisitions, as well as order requests bills, travel expense reports. A clear and concise description will help you differentiate the purchase from others when creating reports for Finance Mart and standard ledger.
FINTRAC uses the financial intelligence provided by the public to track suspicious activities such as money laundering and terrorist financing. The agency identifies patterns by analysing information from banks, casinos, credit unions, and other money service companies.
FINTRAC’s purpose is to protect the Canadian economy and society from the proceeds of criminal activity. To do this, it cooperates with law enforcement partners to prevent the financing of terrorists and money laundering by detecting patterns of suspicious activity and sharing actionable intelligence with the various stakeholders.