This is a fast changing sector with recent changes in the way H M Revenue & Customs deal with charities. In particular, they now require completion of their own application forms rather than relying, as hitherto, on the fact that registration has been granted by the Charity Commission.
In recent years, we have seen the introduction of Community Interest Companies (CIC) which are a hybrid between the voluntary and commercial sectors and we will, at some stage, see the introduction of Charitable Incorporated Organisations (CIO) which will obviate the need for incorporated charities to be registered with Companies House as well as the Charity Commission.
CIOs were included in the Charities Act 2006 but have yet to be brought into operation.
Being a charity is not the same as being an organisation that does ‘good things’. “Charity” has an outward, inclusive nature: it is not inward-looking or for private benefit. Only organisations with aims ('purposes') that are considered to be charitable and for public benefit are accorded the charity label.
KMP has been involved in the voluntary sector from its outset and our extensive experience extends to the following key areas:
- Charity accounting, auditing and reporting
- Incorporating existing charities and handling the registration of the new body with the Charity Commission.
- Gift Aid
- Value Added Tax
- Management Reporting and Accounting
- Budgetary Advice Planning and forecasting
- Interpretation of the Statement of Recommended Practice for Accounting and Reporting by Charities (The SORP)
- Payroll Services (for more information, please refer to our Payroll Services Section)