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OVAL ACCOUNTANTS LTD
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Owadally & Kings Partnership
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Frequently asked questions
What specific services do accountants for charities in Bexhill-on-sea offer?
Accountants for charities in Bexhill-on-sea offer a range of services including preparation of annual accounts under the Charities SORP, independent examinations, and audits where required. They also handle Gift Aid claims, VAT returns, payroll for charity staff, and tax compliance for the charity itself. Many provide strategic advice on financial management, budgeting, and reporting to trustees and the Charity Commission, ensuring your charity remains compliant and financially healthy.
How do I know if an accountant is suitably qualified for charity work?
Look for accountants who are members of recognised professional bodies such as ACCA, ICAEW, or AAT. These qualifications ensure the accountant has undergone rigorous training and adheres to a strict code of ethics. Additionally, check if they have specific experience with charitable organisations, as this indicates familiarity with SORP and Charity Commission regulations. You can verify their status on the respective professional body's register.
What is the role of HMRC in charity accounting and tax?
HMRC oversees the tax obligations of charities, including the administration of Gift Aid, which allows charities to reclaim basic rate tax on donations. Charities must also register for VAT if their taxable turnover exceeds the threshold, and they may need to pay Corporation Tax on trading activities that are not charitable. A qualified accountant will manage these HMRC interactions, ensuring accurate returns and compliance with all relevant tax laws.
Can an accountant help with the preparation of a charity's annual return to the Charity Commission?
Yes, an accountant specialising in charity finance can assist with the preparation of the annual return and the trustees' annual report. They ensure that the financial information is presented in the correct format, in accordance with the Charities SORP. This includes detailing income and expenditure, explaining any restricted funds, and providing the independent examiner's or auditor's report as required by law.
What is the difference between an independent examination and a full audit for a charity?
An independent examination is a lighter-touch review of a charity's accounts, typically required for charities with an income between £25,000 and £1 million, unless the governing document specifies otherwise. A full audit is a more thorough examination, required for larger charities with income over £1 million, or where the Charity Commission has directed one. An accountant can advise which applies to your charity and carry out the appropriate process.
How often should a charity review its financial controls and accounting procedures?
It is recommended that a charity reviews its financial controls and accounting procedures at least annually, or whenever there is a significant change in operations. This includes assessing cash handling, approval processes for expenditure, and the segregation of duties. An accountant can conduct a review and suggest improvements to reduce the risk of fraud or error, ensuring that your charity's assets are safeguarded and that trustees fulfil their responsibilities.
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