Specialist Accountants for Charities
You focus on your mission – we’ll take care of the accounts.
Unlike many other accountancy firms, RWB Chartered Accountants offer bespoke accounting and tax advice and support to charities and not-for-profit organisations.
We appreciate that charities operate under stringent financial reporting thresholds, which is why we offer targeted solutions.
Whether you're a small charity requiring an independent examination or a larger entity needing a full audit, we've got you covered. Our priority is to uphold transparency, providing relief from the financial reporting burden to your donors, regulators, and beneficiaries, giving you peace of mind.
RWB help Charities & Not-for-profit Organisations with:
Charitable organisations need business advisers who understand the complexities in charity accounts and can provide pro-active advice to ensure they meet their regulatory obligations and their charitable objectives.
Navigating tax exemptions and reliefs can be daunting. Our knowledge of Gift Aid, VAT exemptions, and partial taxation exemptions allows us to help maximize your available reliefs while ensuring compliance with intricate tax regulations, thus avoiding unexpected liabilities and providing a sense of security.
We understand the restrictions tied to fund uses and the pressure trustees face in maintaining compliance and governance. Our expert guidance ensures funds are utilised according to donor terms, safeguarding your organization from regulatory breaches.
Our expert accountants can:
Support charities and not-for-profit organisations
Advise clubs and associations
Support Trade Associations
Give guidance to schools
Provide peace of mind
Offer ongoing support and guidance
In a sector where ethical and reputational considerations are crucial, RWB Chartered Accountants is committed to delivering accurate, transparent, and ethical accounting services. Our commitment to upholding your charity’s integrity reduces the risk of regulatory scrutiny and helps build a foundation of trust with your community.
Types of charity accounting services
We offer a wide range of charity accounting services ranging from carrying out audits to ensuring charity legislation compliance. The law on taxing charitable profits and VAT laws affecting charities are very complex. Getting it wrong can be expensive. We understand the issues and can offer strategically sound solutions.
Charity accounting services include:
Charity audits
Ensuring charity legislation compliance
Selecting Charity SORP legislation
Ensuring trustee sustainability
Reserves policies and forward business plans
Dealing with tax issues
Online accounting with Xero
RWB will help deliver the best cloud-based accounting software solution for your charity or not-for-profit organisation, with our unique combination of charity accounting experience, cloud-based software experience and Xero Champion Partner status.
Online accounting has many benefits such as:
Tracking income and expenditure across different reserves
Saving you time
Providing value for money
Improving productivity and efficiency
Being user friendly
Giving you reliable, automated data
Improving collaboration
As we have discussed on our Xero Online Accounting page, the benefits to cloud accounting are considerable, and we will tailor the best software solution unique to your business.
Why choose RWB?
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We have decades of experience in helping clients with a full suite of accountancy services. Our diverse and dedicated team specialise in everything from Personal Tax and Corporate Accounts to Inheritance Tax Planning and Forensic Accounting.
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We are governed by the ICAEW, which has the highest standards of integrity and ethics.
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We have a rigorous protocol: all completed work is checked by your dedicated client manager and then again by one of our directors
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Our meticulous procedures significantly reduce the risk of anything being missed or completed incorrectly.
What our clients say
“The whole team is very efficient and responds to any questions or queries immediately. We are very happy with the service.”
— Mrinal
“This is my 41st year as a client of RWB or its predecessors. The service has always been superb and, even better, friendly.”
— James
“Nick Bonnello and the team have always been on hand to offer excellent advice and guidance at every step of the way. I can’t recommend them enough!”
— Dan
Contact us
Would you like to learn more? Our team are happy to help!
FAQs
What are the key accounting requirements for UK charities?
Charities in the UK must comply with the Charities Act 2011 and adhere to the Charities Statement of Recommended Practice (SORP). Depending on your income level, you may need to produce accrual-based accounts, prepare a trustees’ annual report, and undergo an independent examination or audit.
Does my charity need an independent examination or an audit?
The requirement depends on your charity’s income:
Audit required if income is £1 million or more, or if gross assets exceed £3.26 million with income over £250,000.
Independent examination required if income is over £25,000 but below the audit threshold.
No external scrutiny needed for charities with income below £25,000, though good record-keeping is still essential.
How can we improve financial sustainability for our charity?
Charities should diversify income streams, implement strong financial controls, review fundraising strategies, and ensure full use of available tax reliefs. Regular financial forecasting and budgeting can also help maintain long-term stability.
What is the Charity SORP, and does my charity need to follow it?
The Charity SORP (Statement of Recommended Practice) sets out how charities should prepare their financial statements. If your charity prepares accrual-based accounts, following SORP is mandatory. Smaller charities using receipts and payments accounting are exempt but may still find it beneficial.
What are the tax benefits available to charities?
Registered charities can benefit from:
Gift Aid to reclaim 25% on eligible donations.
Business rates relief (up to 80% mandatory relief, with potential for full relief).
VAT relief on certain purchases and zero-rated supplies.
Exemptions from Corporation Tax on primary-purpose trading and fundraising activities.
What are the penalties for non-compliance with charity accounting rules?
Failing to submit accounts on time can lead to regulatory scrutiny, reputational damage, and in severe cases, intervention by the Charity Commission. Trustees can be held personally accountable if mismanagement occurs. This underscores the importance of professional accounting services in ensuring compliance and avoiding these potential consequences.
How should charities manage restricted and unrestricted funds?
Charities must carefully track restricted funds, which are donations or grants designated for a specific purpose. Unrestricted funds can be used for any charitable purpose. Misallocating funds can lead to compliance issues and reputational damage. Proper fund accounting is crucial to maintaining transparency.
Do small charities need to register with the Charity Commission?
Charities with an income of less than £5,000 per year are not required to register with the Charity Commission but can apply for HMRC recognition to claim Gift Aid and other tax benefits. Charitable Incorporated Organisations (CIOs) must register regardless of income.
What are trustees’ financial responsibilities?
Trustees must:
Ensure charity funds are used for charitable purposes only.
Keep proper accounting records and file annual accounts.
Monitor cash flow and financial risks.
Comply with reporting requirements to the Charity Commission and HMRC.