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MGM & CO. Chartered Certified Accountants
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Holdsworth Accountancy
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Mind Your Assets Accounts
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Clarity Accountants
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Pepperhill Associates
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Norbury Bookkeeping Services
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HHR ACCOUNTANCY LTD
Accounting & Bookkeeping Solutions
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Additions Accountancy
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LLOYDS ACCOUNTANTS LTD
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Frequently asked questions
What qualifications should a charity accountant hold?
A charity accountant should ideally be a member of a recognised professional body such as ACCA, ICAEW, or AAT. These qualifications ensure the accountant has undergone rigorous training and adheres to strict ethical standards. They will also have up-to-date knowledge of charity law and SORP, which is essential for preparing accurate accounts and ensuring compliance with HMRC requirements.
How can an accountant help with Gift Aid?
An accountant can assist your charity in claiming Gift Aid on eligible donations, ensuring that you complete the necessary paperwork and keep proper records. They can also advise on the rules for Gift Aid on membership fees, events, and online donations. By maximising your Gift Aid claims, you can increase your charity's income without additional fundraising effort.
What is an independent examination and when is it required?
An independent examination is a lighter-touch review of a charity's accounts, required for most charities with an income below the audit threshold. The examiner must be independent and have the necessary skills and experience. A qualified accountant can perform this role, providing assurance that the accounts are correct and that funds have been used properly. They will also identify any areas for improvement in financial controls.
Do charity accountants handle VAT returns?
Yes, many charity accountants are experienced in VAT matters. Charities can often benefit from reduced rates or exemptions on certain goods and services. An accountant can help you determine your VAT status, complete returns accurately, and ensure you claim all available reliefs. They will also advise on partial exemption calculations if your charity makes both taxable and exempt supplies.
Can an accountant help with Corporation Tax for a charity's trading subsidiary?
Absolutely. If your charity operates a trading subsidiary, that company is subject to Corporation Tax on its profits. An accountant can prepare the necessary tax returns, advise on allowable deductions, and help structure the subsidiary to minimise tax liabilities. They will also ensure that profits are transferred to the parent charity in a tax-efficient manner, using Gift Aid or other mechanisms.
How often should a charity review its financial procedures?
It is advisable to review financial procedures at least annually, or whenever there are significant changes in your operations or regulations. An accountant can conduct a thorough review of your internal controls, cash flow management, and budgeting processes. Regular reviews help identify potential risks, improve efficiency, and ensure that your charity remains compliant with all legal and regulatory requirements.
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