Share

Charity Commission considers fine for late accounts

Charity Commission considers fine for late accounts
News

Charity Commission considers fine for late accounts 1

Finance | Jonathan Last | 28 May 2012

The Charity Commission is to ask charities for their views on fines for the late filing of accounts, its chief executive Sam Younger revealed at a public meeting last week.

Younger, delivering the first presentation at the Birmingham-based meeting, reviewed the Commission’s strategic plan for 2012-15 and spoke of developing accountability in the voluntary sector, which he said was of “mutual interest” to the regulator and charities alike.

As well as outlining the Commission’s current accountability goals – pushing charities to file online and on time; promoting transparency; encouraging charities to announce when they have dissolved – Younger told of an upcoming consultation reviewing the information it currently asks from trustees. Amongst the range of questions will be “Should we fine charities that file late?” he said.

“The only sanction we’ve currently got [for this] is the red flag on the register,” said Younger. “So should there be more – or should we in fact provide incentives to charities that file early?”

It transpired last week that the Charity Commission is considering the administrative benefits of working with Companies House, in terms of accepting the same sets of accounts and common annual returns, and will consult the sector on the proposals during the summer. Such a move has been recommended by Lord Hodgson, who is reviewing the Charities Act 2006.

Companies House has its own policies in place for fining following the late filing of accounts, ranging from £150 for private companies and £750 for public companies which are one month late, to as much as £1,500 and £7,500 respectively if the accounts are more than six months overdue.

Younger did not reveal if the Commission had considered the details of any proposed fines – or, indeed, rewards.

James Hickey
Management Consultant
Charlton Associates
5 Jun 2012

I think that the more important proposal is for requiring only one set of accounts for incorporated charities. If Companies House can agree to accepting charity accounts then the issue of fining becomes less relevant as it is standard practice in the rest of the business world.

Charity accounts are a vital part of the sector's commitment to openness and transparency. Failing to produce adequate accounts on time is too prevalent for comfort in my opinion.

As a former Chair of a charity and as a consultant working in the sector I would support both moves.

Comments

[Cancel] | Reply to:

Close »

Community Standards

The civilsociety.co.uk community and comments board is intended as a platform for informed and civilised debate.

We hope to encourage a broad range of views, however, there are standards that we expect commentators to uphold. We reserve the right to delete or amend any comments that do not adhere to these standards.

We welcome:

  • Robust but respectful debate
  • Strongly held opinions
  • Intelligent relevant discussion
  • The sharing of relevant experiences
  • New participants

We will not publish:

  • Rude, threatening, offensive, obscene or abusive language, or links to such material
  • Links to commercial organisations or spam postings. The comments board is not an advertising platform
  • The posting of contact details for yourself or others
  • Comments intended for malicious purpose or mindless abuse
  • Comments purporting to be from another person or organisation under false pretences
  • Gratuitous criticism, commentary or self-promotion
  • Any material which breaches copyright or privacy laws, or could be considered libellous
  • The use of the comments board for the pursuit or extension of personal disputes

Be aware:

  • Views expressed on the comments board are left at users’ discretion and are in no way views held or supported by Civil Society Media
  • Comments left by others may not be accurate, do not rely on them as fact
  • You may be misunderstood - sarcasm and humour can easily be taken out of context, try to be clear

Please:

  • Enjoy the opportunity to express your opinion and respect the right of others to express theirs
  • Confine your remarks to issues rather than personalities

Together we can keep our community a polite, respectful and intelligent platform for discussion.

Free eNews

Study finds that men donate more to charity when the fundraiser is an attractive female

17 Apr 2015

Men donate more to online fundraising pages where the fundraiser is an attractive female, and donate competitively...

Legion condemns poppy use on Ukip campaign advert

17 Apr 2015

The Royal British Legion has said that it is working to make sure that its poppy is “never again”...

Oxfam trials tap-to-donate technology

17 Apr 2015

Oxfam GB is running a trial of near-field communication technology to allow supporters to both donate...

National Theatre's first chief executive quits citing problems with leadership structure

17 Apr 2015

The National Theatre's first chief executive, Tessa Ross, has resigned after five months at the organisation,...

Legion condemns poppy use on Ukip campaign advert

17 Apr 2015

The Royal British Legion has said that it is working to make sure that its poppy is “never again”...

MoJ stops short of formal investigation into PCC who awarded £500,000 to her own organisation

17 Apr 2015

The Ministry of Justice has said it is not launching a formal investigation into Northumbria police and...

Oxfam trials tap-to-donate technology

17 Apr 2015

Oxfam GB is running a trial of near-field communication technology to allow supporters to both donate...

Ice Bucket Challenge effect brings down average online donation amount

15 Apr 2015

The average online donation fell by 8.6 per cent in 2014 to £63.69, according to a survey by fundraising...

Education charity UCAS broke electronic marketing rules, says Information Commissioner

9 Apr 2015

The Universities and Colleges Admissions Service broke electronic marketing rules because its admission...

Join the discussion

 Twitter button

@CSFinance