No. Charitable Incorporated Companies (CICs) are not charities. They are businesses that help people or communities, formed under the Companies Act and regulated by the CIC Regulator, not the Charity Commission.

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Charities

Q: What are the accounting requirements for a charity?

Most charities are required to keep full and accurate accounting records, prepare charity accounts and an annual report, ensure an audit or independent examination is carried out where required, and submit an annual return, annual report and accounts to the Charity Commission. Limited company charities must also file with Companies House. The extent of these requirements depends on the charity’s type and level of income.

Q: What responsibilities and restrictions apply to a charity’s trustees?

Charity trustees have legal responsibilities to act in the best interests of the charity, manage resources responsibly and ensure compliance with charity law. A full outline of trustee responsibilities is available in our trustee responsibilities factsheet.

Q: What are restricted and unrestricted funds?

Charities may hold different types of funds. Restricted funds must be used only for specific purposes set by the donor, while unrestricted funds can be used at the trustees’ discretion to further the charity’s objectives.

Q: Do all charities need an audit?

Not always. A charity audit is required only when certain income or asset thresholds are exceeded, or when required by funders, the Charity Commission or the charity’s governing documents.

Q: When can we choose an independent examination instead of an audit?

If a charity has income over £25,000 but below the statutory audit thresholds, and an audit is not required by funders, the Charity Commission or governing documents, an independent examination may be used instead of an audit.

Q: What is the difference between a charity audit and an independent examination?

A charity audit requires an auditor to form an opinion on whether the accounts give a true and fair view and involves a higher level of scrutiny. An independent examination involves more limited checks and provides a lower level of assurance.

Q: How long does a charity audit or independent examination take?

The time required depends on the charity’s size, complexity and how organised the finance team is. Most independent examinations are completed within one to two weeks, while audits typically take longer.

Expert support as accountants for charities & charity auditors

As experienced accountants for charities, we understand the unique regulatory, financial and governance challenges faced by not‑for‑profit organisations. For those charities with an audit requirement, we are also experienced charity auditors. We provide practical support so your charity remains compliant, financially resilient and focused on delivering impact.

Whether you need a statutory audit, an independent examination, or other ongoing support, Brebners can help you stay confident in your financial stewardship.

Who We Work With

Our team includes experienced charity accountants and auditors who support a wide range of organisations from smaller non-profits to larger, high-profile charities including:

Arts, cultural and heritage charities
Charitable incorporated organisations (CIOs)
Charitable companies limited by guarantee
Faith-based and religious charities
Educational charities
Grant-making foundations
Health, wellbeing and social care charities

We also support Community Interest Companies (CICs).

Why Choose Us

✔ Charity sector expertise
Having acted for decades as accountants for charities, we understand the complexities of SORP compliance, trustee responsibilities and regulatory reporting.

✔ Experienced charity auditors
As charity auditors we provide robust, independent audits that do more than meet statutory requirements. They increase stakeholder confidence, while our recommendations help to strengthen governance and internal controls.

✔ Personal, partner-led service
Our charity clients value our accessible, partner-led approach, ensuring continuity, responsiveness and a relationship built on trust.

How We Can Help

Audit & Independent Examination

As experienced charity auditors, we deliver:

Statutory charity audits
Independent examinations
Internal systems and process reviews
Governance and internal control recommendations
Credibility and transparency for trustees and funders

Accounting & Reporting

As experienced accountants for charities, we can support you with:

Year-end statutory accounts preparation
Trustees’ Annual Reports guidance
Management accounts
Bookkeeping and cloud accounting

Tax & VAT for Charities

Advice on charitable trading and tax exemptions
VAT recovery and partial exemption
Tax planning for trading subsidiaries

In the words of Raj Kapoor, CEO of Citizens Advice Brent, “Their approachable and supportive manner has made what can often be a complex area feel straightforward and manageable. We deeply appreciate their commitment to excellence and their genuine interest in supporting our mission. Brebners has been a trusted partner, and we wholeheartedly recommend their services to any organisation seeking reliable and knowledgeable accountancy and audit support”.

For more testimonials, see Testimonials

Ready to Talk?

Our specialist teams with experienced accountants for charities and charity auditors are here to support your organisation with clear advice.

Get in touch for a free, no‑obligation consultation to discuss how we can help.

Frequently Asked Questions

What types of charities are there?

Charities can be created in a number of ways but are usually:

incorporated under the Companies Act 2006 or earlier (limited company charities)
incorporated under the Charities Act 2011 (Charitable Incorporated Organisations - CIOs); or
created by a declaration of trust (unincorporated charities).

All charities are affected by the Charities Act 2011.

Is a CIC a charity?

No. Brebners also support Charitable Incorporated Companies (CICs) which not charities but businesses that help people or communities. They are formed under the Companies Act and are regulated by the CIC Regulator, not the Charity Commission.

What are the accounting requirements for a charity?

There are particular requirements for most charities to:

keep full and accurate accounting records (and funds requirements are of particular importance here)
prepare charity accounts and an annual report
to ensure an audit or independent examination is carried out
to submit an annual return, annual report and accounts to the Charity Commission (and, for limited company charities, to Companies House).

The extent to which these requirements have to be met generally depends upon the type of charity and how much income is generated.

What is the Charities SORP?

The Charities Statement of Recommended Practice (SORP) is the framework for how charities must prepare their financial statements. SORP‑compliant accounts are essential for transparency and fulfilling statutory obligations.

What responsibilities and restrictions apply to a charity’s trustees?

For a comprehensive outline of the responsibilities of a trustee, please see our factsheet here .

What are restricted and unrestricted funds?

An important aspect of accounting for charities is the understanding of the different 'funds' that a charity can have.

Essentially funds represent the income of the charity and there may be restrictions on how certain types of funds raised can be used. For example, a donation may be received only on the understanding that it is to be used for a specified purpose. Such 'restricted' funds must be used only as intended.

Do all charities need an audit?

Not always. An audit is required only when income or asset thresholds are exceeded or when funders, the Charity Commission or governing documents require it. Contact us now for free, no-obligation initial guidance.

When can we choose an independent examination instead of an audit?

If your charity has income of more than £25,000 but is below the statutory audit thresholds and an audit is not required by funders, the Charity Commission or governing documents, an independent examination is indicated.

What is the difference between a charity audit and an independent examination?

An audit requires more work, as an auditor is required to form an opinion as to whether the accounts are “true and fair”. An independent examination involves checking for certain matters only, and represents a lower level of scrutiny.

How long does a charity audit or independent examination take?

This depends on the charity’s size and complexity, and how organised and responsive the finance team are. Most independent examinations are concluded within a week or two, whilst a charity audit can take longer. Using an online query management portal, we aim to complete the process with minimal disruption to your day-to-day operations.

What is the deadline for filing charity accounts?

The deadline for filing charity accounts with the Charity Commission in England and Wales is 10 months after the financial year end. A charitable company must also file accounts at Companies House 9 months after the financial year end.

For more information, please contact: