Charity Law Update
We are grateful to Anthony Collins Solicitors for their support for the Governance Hub. They regularly provide updates on charity law at meetings and you can sign up to receive regular charity law e-briefings via their website or contact them about any legal services.
Below are some recent highlights of law and procedural changes that affect charitie.
Code of Fundraising Practice: The Fundraising Regulator plans to review and update the Code of Fundraising Practice on a rolling basis. As part of this, the Fundraising Regulator has published its consultation on the Code of Fundraising Practice. The consultation seeks views on the many areas including role of Charity trustees, the fundraising ask, solicitation (disclosure) statements, whistleblowing, people in vulnerable circumstances and use fo third parties. The deadline for responding is Friday 28th April 2017.
In 2016 the Charity Commission revised its guidance on fundraising and the Institute of Fundraising has produced a free handbook called Trustees and Fundraising: A practical handbook to complement the official Charity Commission CC20 guidance on fundraising for trustees.
Confirmation Statements and Registers of People with Significant Control. From 30 June 2016, if your charity is a UK company (usually a company limited by guarantee), then you will now need to file a ‘confirmation statement’ at Companies House in place of an annual return.Visit the Anthony Collins website for more inmformation.
Charity Annual Returns and accounts: Anthony Collins have produced introductory guide to help in the preparation of Annual Returns. if you are registered with the Charity Commission. Visit their guidance page
Accruals accounts – guidance and templates: The Charity Commission has published the following, to help non-company charities with incomes of less than £500,000 prepare their trustees’ annual report and accrual accounts in accordance with Charities SORP FRS 102:
- Accruals Accounts pack (CC17) – SORP FRS 102
- Charity accounting templates: accruals accounts (CC17) - SORP FRS 102
- Independent examiner’s report template - SORP FRS102
- Trustees’ annual report template - SORP FRS102
Thinking about converting to a CIO?: Those working in the charity and social enterprise sector know that a good legal structure enables an organisation to work effectively to achieve its aims. Anthony Collins have produced guidance on converting to a CIO.
Pension Costs – mixed news for employers: There is mixed news for employers on pension contribution costs with the Government deciding to extend the minimum contribution timetable for auto-enrolment but freezing the level of earnings at which staff qualify for auto-enrolment. By now most charities should have set up their auto-enrolment qualifying pension scheme with the rest due in 2017. You should check your duties on teh Pension Regulators wesbite.
National Insurance: The new rules for the collection of Class 2 contributions came into effect in April 2015. The Chancellor also announced the abolition of Class 2 in the next few years. This will mean the removal of Class 2 VDW category for volunteers working overseas, and the need to pay the higher rate of Class 3 to protect pension rights. The employment allowance was raised to a £3,000 reduction in employer national insurance contributions (NICs) bills each year.