The government has recently announced that the income threshold at which charities are required to have their accounts audited will be increased from £500,000 to £1 million, with effect from 31 March 2015. The asset threshold will remain the same.
This means that a charity with a gross income of between £500,000 and £1 million, whose accounting year ends on or after 1 March 2015, will need to have its accounts examined by a professional independent examiner rather than be audited.
The asset component of the asset threshold will remain at £3.26 million for now, to maintain consistency between charity and company law. This may be assessed going forward, to ensure there is no misuse of charitable assets.
For more information on any aspect of charity law, please contact Kirstin Thompson on 01949 830815.