Charities Act 2009 - Charity Accounting and Financial Reporting

Úna Ní DhubhghaillCharities Regulation UnitDepartment of Justice and Equality

Charities Act 2009 - Charity Accounting and Financial Reporting

Implementation processLegislative frameworkRelevant messages from Department of

Justice and Equality consultation on implementation of Charities Act

Interaction with this process

Charities Act 2009 - Implementation Process

Context Charities Act enacted 2009 To introduce comprehensive new system for the statutory regulation of

charities Remains Government policy despite implementation delay Consultation process on proposed scaled down implementation – January to

March 2013 Current position

July 2013 – Government gave its approval to the establishment of a Charities Regulatory Authority and published the outcome of the consultation

Planned next steps Appointments process Period of shadow operation Formal establishment

Anticipated timeframe Appointments envisaged before end 2013 Authority to begin operation in 2014

Charities Act 2009 – Accounting and Financial Reporting Provisions

Sections 47 to 54 of the Act Duty to keep proper books of account (s.47)

Applies to all charities Annual statement of accounts (s.48)

Minister may make regulations on form and content of statement

Section does not apply to all charities Annual audit or examination of accounts (s.50, 51)

Minister may set audit thresholds by regulation Minister may make regulations on duties of auditor Section does not apply to all charities

Charities Act 2009 – Consultation on Implementation

“What information would you like to see included in the annual financial reports provided by registered charities to the Charities Regulatory Authority?” “where does the money come from and where does

it go?” Proportionality vs. consistency/comparability SORP

“Sufficient to get a true picture.”

Charities Act 2009 - Charity Accounting and Financial Reporting

A means to an end…or to several ends… effective use of charity property; compliance by charity trustees with their duties in

the control and management of charities; accountability of charities to their donors and

beneficiaries and to the public; public trust and confidence in the management and

administration of charities.…supporting behaviours and practices that will help

to achieve these goals……helping charities to fulfil their charitable purpose as

best they can…

Charities Act 2009 - Charity Accounting and Financial Reporting

Úna Ní DhubhghaillCharities Regulation UnitDepartment of Justice and Equality