HomeHome SearchSearch MenuMenu Our productsOur products

Unauthorised changes to accounting information: What should you do?

by , 14 April 2015
When protecting your accounting information, you need to be reminded of a major risk: Unauthorised changes to accounting information. Note that by definition, manipulation of accounting information means that an individual makes unauthorised changes to the information.

This can happen whether due to error, due to ill-intent. For example, an employee accidentally passes incorrect accounting transactions or hackers intentionally make changes or delete financial information.

Here's the effect it will have on your company...

Why unauthorised changes to your company's accounting information is so dangerous

• Decisions made by management will be based on inaccurate financial information.

• Tax returns will be submitted to SARS based on inaccurate information, which may result in penalties and interest being levied against you.

 *********** Top Rated Product ***************

Get the Practical Accountancy Loose Leaf on your computer

Click here to enjoy the convenience of being able to access The Digital Practical Accountancy Guideanywhere


• Financial information supplied to CIPC may be inaccurate, which will result in penalties.

• Complete loss of the entity's financial infrastructure if someone alters prior period balances.

Now that you know the risks, here's how to protect your accounting records from unauthorised access and manipulation:

• Lock you're accounting records and supporting documents in a secure room on the company's premises. This will ensure that unauthorised personnel can't gain access to it.

• Only management and accounting personnel who need to have access to the accounting records should have physical access to the room.

• All electronic files and information should be saved on a local server that is located in a secure server room and that:
a) is equipped with passwords only management and accounting personnel have been entrusted with; and
b) is fixed into the room and can't be removed from the room without severe physical force.

• Fit your premises with an alarm system.

Related articles

Related articles

Related Products

Recommended for You 

  Quick Tax Solutions for Busy Taxpayers – 35 tax answers at a glance

Here are all the most interesting, thought-provoking and common tax questions
asked by our subscribers over the last tax year – everything from A to Z!

To download Quick Tax Solutions for Busy Taxpayers – 35 tax answers at a glance click here now >>>
  Employees always sick? How to stop it today

Make sure you develop a leave policy to regulate sick leave in your company.

BONUS! You'll find an example of the leave policy and procedure in this report.

To download Employees always sick? How to stop it today click here now >>>
  Absenteeism: Little known ways to reduce absenteeism

This FREE e-report will tell you how you can reduce absenteeism in your workplace while avoiding the CCMA and without infringing your employees' labour rights.

To download Absenteeism: Little known ways to reduce absenteeism click here now >>>
  7 Health & safety strategies to save you thousands

Don't let a health and safety incident cost you one more cent. Implement these seven
strategies in your company today.

To download 7 Health & safety strategies to save you thousands click here now >>>