Finance

A new government consultation is on draft guidance to water and sewerage companies on concessionary schemes for community groups, which would protect them from unaffordable surface water drainage charges.

The think tank Demos has produced a report which argues that third sector organisations must be able to demonstrate their social value in the face of pending cuts, but they have some way to go and need support to implement a standardised method.

Revised guidance on how HM Revenue and Customs is to apply the 'fit and proper persons test' for managers of charities has been published. Revisions include who the test applies to, alongside stating that "HMRC assumes that all people appointed by charities are fit and proper persons unless they hold information to show otherwise. Provided charities take appropriate steps on appointing personnel then they may assume that they meet the management condition at all times unless, exceptionally, they are challenged by HMRC."

A number of voluntary sector bodies such as CFDG and the Small Charities Coalition and have come together to produce options for the simplification of the Gift Aid system.

Responses to their survey will inform their discussions with the government on improving the system. As they are due to report back mid-July they presumably want quick responses - Gift Aid Simplification Measures Questionnaire at http://www.surveymonkey.com/s/9RTDPWM.

A new guide to help trustees who are adopting or updating the organisation's responsible investment strategies has been launched by the EIRIS Foundation and Charity Finance Directors' Group.

Accountants and others handling charity finance might like to read the Third Sector article examining the implications of the International Financial Reporting Standards and how a revised SORP (Statement of Recommended Practice) might come about.

Non-experts might want to wait for further developments first. http://www.thirdsector.co.uk/News/1012418/.

For the changes to the various rates and allowances from June's Budget, you can refer to the HM Treasury press release (pdf, 75KB) at http://www.hm-treasury.gov.uk/d/junebudget_press_notice2.pdf, but HM Revenue and Customs Budget pages are probably a better reference, http://www.hmrc.gov.uk/budget2010/index.htm.

The Community Infrastructure Levy, a new tax on developments that require planning permission which helps pay for necessary local infrastructure, came into force on 6th April 2010.

There are exemptions for charities and those developing social housing, but as an article on the Talk Charity web pages from accountancy body ICAEW says, these have pitfalls that need to be avoided. See more at http://www.ion.icaew.com/charityblog/20122.