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

BP donations to Tate 'embarrassingly small' say campaigners

27 Jan 2015

An arts charity has criticised the Tate for accepting an “embarrassingly small” amount of money from...

Band Aid 30 donates first £1.8m to aid charities

27 Jan 2015

Band Aid 30, the music industry fundraising initiative, has donated the first £1.8m raised from an updated...

Big Lottery Fund awards £150m to local neighbourhood foundation

23 Jan 2015

The Big Lottery Fund has awarded £150m to a new community grantmaking foundation to help individuals...

Staff continue to work without pay for six weeks as homelessness charity enters administration

27 Jan 2015

Swansea charity Cyrenians Cymru formally entered administration yesterday as it is revealed that staff...

New four-year NCS programme planned for Northern Ireland

26 Jan 2015

The Northern Ireland government is currently finalising plans to unveil a renewed, four year programme...

Acevo calls for sector to reject NCVO proposal on political affiliation

26 Jan 2015

Sir Stephen Bubb, chief executive of Acevo, has called on the voluntary sector to reject NCVO’s recommendation...

Comparison website for special needs services launched by charity consortium

23 Jan 2015

A coalition of social care charities has launched a TripAdvisor-style website, designed to help families...

CRUK debuts contactless giving through shop windows

21 Jan 2015

Cancer Research UK has announced a collaboration with outdoor media owner Clear Channel to bring contactless...

Charity IT Association will provide free technology advice

15 Jan 2015

Four IT organisations have pooled their resources to launch the Charity IT Association and provide free...

Join the discussion

 Twitter button

@CSFinance