Charity Audit threshold changes take effect

The government has published a detailed document surmising the Charity accounting framework.

Charity audit thresholds have changed in an effort to reduce the regulatory burden for charities, with changes taking effect from 31/03/2015.

The basic audit threshold changes from £500,000 to £1m, meaning fewer charities will be required to have their accounts formally audited.

Those charities can instead have their accounts independently examined to ensure a high level of assurance remains.  A service that we can offer, please contact Tony if you are interested in knowing more.

Other changes that come into effect include:

  • Increasing the aggregate gross income threshold at which point charities should have group accounts from £500,000 to £1m
  • Increasing the preparation threshold for group accounts from £500,000 to £1m