# The Charities (Accounts and Reports) Regulations (Northern Ireland) 2015, Note: Explanatory note


(This note is not part of the Regulations)
These Regulations make provision in respect of the preparation and scrutiny of accounts prepared by charities and the preparation of annual reports by charities. The Regulations also make provision for the preparation and scrutiny of group accounts and the preparation of group annual reports by parent charities. The Regulations apply to charities registered in the register of charities kept under section 16 of the Charities Act (Northern Ireland) 2008 (“the Act”) and for financial years beginning on or after 1st January 2016.
Part 1 makes general provision. Regulation 2 sets out the definitions that apply for the purposes of the Regulations. Regulation 3 makes provision for the determination of financial years of charities that are not companies. Regulation 4 provides for the statement of recommended practice which is to apply according to the type of charity. Regulation 5 provides for the application of the Regulations. Regulation 6 restates the position in relation to grant-aided schools which are charities.
Part 2 prescribes the form and contents of the statements of accounts prepared by charity trustees under section 64(1) of the Act. This includes the information to be provided by way of notes to the accounts. Regulation 8 prescribes the form and contents of statements of accounts prepared by general charities (which are all charities apart from special case charities and investment funds). Regulation 9 prescribes the form and contents of statements of accounts to be prepared by registered housing associations and certain charities conducting further and higher education institutions (special case charities). Regulation 10 prescribes the form and contents of statements of accounts prepared by charities that are investment funds.
Part 3 makes provision in respect of the preparation of group accounts. Chapter 1 sets out how aggregate gross income is to be calculated for the purposes of Schedule 6 to the Act and also how the financial years of subsidiary undertakings are to be determined. Chapter 2 prescribes the form and contents of group accounts prepared by the charity trustees of a parent charity, including the information to be provided by way of notes to the accounts. Chapter 3 makes provision for various exceptions to the requirement to prepare group accounts. The requirements of Part 3 apply to a parent charity which is a company where it is not required to prepare group accounts under Part 15 of the Companies Act 2006.
Part 4 makes provision regarding the duties of auditors and independent examiners and the reports to be made by them. Chapter 2 deals with the reports of auditors by reference to the type of entity accounts which they are auditing. Chapter 3 deals with the reports of auditors of group accounts. Chapter 4 deals with the reports of independent examiners and Chapter 5 makes various supplementary provisions including provision for cases in which the Charity Commission for Northern Ireland may dispense with the requirement for a charity’s accounts to be audited or examined. The requirements of Part 4 apply to a charity which is a company and which is not required to have its accounts audited under Part 15 of the Companies Act 2006.
Part 5 makes provision regarding the report and information to be contained in the annual report prepared by the charity trustees of a charity under section 68 of the Act. Regulations 31 and 34 make provision for the preparation of annual reports by the charity trustees of parent charities that are required to prepare group accounts for the financial year in question. Regulations 30, 32 and 33 make provision for the preparation of annual reports by other types of charity. The requirements of Part 5 apply to a charity which is a company and prepares a statement of accounts under Part 15 of the Companies Act 2006.
Part 6 makes consequential revocations.
A full regulatory impact assessment of the effect that these Regulations will have on the costs of business and the voluntary sector is available from the Department for Social Development, Voluntary and Community Unit, 3rd Floor, Lighthouse Building, 1 Cromac Place, Gasworks Business Park, Ormeau Road, Belfast BT7 2JB and is annexed to the Explanatory Memorandum which is available alongside the Regulations on the website: www.legislation.gov.uk.

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Source: https://www.legislation.gov.uk/nisr/2015/384/note (the official version)
Page: https://openlegislation.uk/charities-accounts-and-reports-regulations-northern-ireland-2015/note
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.