- Latest available (Revised)
- Original (As enacted)
The term provision is used to describe a definable element in a piece of legislation that has legislative effect – such as a Part, Chapter or section. A version of a provision is prospective either:
Commencement Orders listed in the ‘Changes to Legislation’ box as not yet applied may bring this prospective version into force.
There are outstanding changes not yet made by the legislation.gov.uk editorial team to Charities Act 2006. Any changes that have already been made by the team appear in the content and are referenced with annotations.
Revised legislation carried on this site may not be fully up to date. Changes and effects are recorded by our editorial team in lists which can be found in the ‘Changes to Legislation’ area. Where those effects have yet to be applied to the text of the legislation by the editorial team they are also listed alongside the legislation in the affected provisions. Use the ‘more’ link to open the changes and effects relevant to the provision you are viewing.
This section lists the commencement orders yet to be applied to the whole Act. These effects are included in this view as they may be (but won’t necessarily be) relevant to the specific provision that you are viewing. Where applicable the commencement orders are listed under two headings, firstly those that bring some part of the Act you are viewing into force and secondly, those that bring into force legislation that affects some part of the legislation you are viewing. If you are viewing a prospective version or there is a prospective version available there may be commencement orders listed here that are relevant to the provision you are viewing.
Commencement Orders bringing provisions within this Act into force:
Commencement Orders bringing legislation that affects this Act into force:
(1)Section 43 of the 1993 Act (annual audit or examination of accounts of charities which are not companies) is amended as follows.
(2)For subsection (1) substitute—
“(1)Subsection (2) below applies to a financial year of a charity if—
(a)the charity's gross income in that year exceeds £500,000; or
(b)the charity's gross income in that year exceeds the accounts threshold and at the end of the year the aggregate value of its assets (before deduction of liabilities) exceeds £2.8 million.
“The accounts threshold” means £100,000 or such other sum as is for the time being specified in section 42(3) above.”
(3)In subsection (2) (accounts required to be audited) for paragraph (a) substitute—
“(a)would be eligible for appointment as auditor of the charity under Part 2 of the Companies Act 1989 if the charity were a company, or”.
(4)In subsection (3) (independent examinations instead of audits)—
(a)for the words from “and its gross income” to “subsection (4) below)” substitute “ but its gross income in that year exceeds £10,000, ”; and
(b)at the end insert— “ This is subject to the requirements of subsection (3A) below where the gross income exceeds £250,000, and to any order under subsection (4) below. ”
(5)After subsection (3) insert—
“(3A)If subsection (3) above applies to the accounts of a charity for a year and the charity's gross income in that year exceeds £250,000, a person qualifies as an independent examiner for the purposes of paragraph (a) of that subsection if (and only if) he is an independent person who is—
(a)a member of a body for the time being specified in section 249D(3) of the Companies Act 1985 (reporting accountants);
(b)a member of the Chartered Institute of Public Finance and Accountancy; or
(c)a Fellow of the Association of Charity Independent Examiners.”
(6)For subsection (8) substitute—
“(8)The Minister may by order—
(a)amend subsection (1)(a) or (b), (3) or (3A) above by substituting a different sum for any sum for the time being specified there;
(b)amend subsection (3A) by adding or removing a description of person to or from the list in that subsection or by varying any entry for the time being included in that list.”
(1)After section 44 of the 1993 Act insert—
(1)This section applies to—
(a)a person acting as an auditor or independent examiner appointed by or in relation to a charity under section 43 above,
(b)a person acting as an auditor or examiner appointed under section 43A(2) or (3) above, and
(c)the Auditor General for Wales acting under section 43B(2) or (3) above.
(2)If, in the course of acting in the capacity mentioned in subsection (1) above, a person to whom this section applies becomes aware of a matter—
(a)which relates to the activities or affairs of the charity or of any connected institution or body, and
(b)which he has reasonable cause to believe is likely to be of material significance for the purposes of the exercise by the Commission of its functions under section 8 or 18 above,
he must immediately make a written report on the matter to the Commission.
(3)If, in the course of acting in the capacity mentioned in subsection (1) above, a person to whom this section applies becomes aware of any matter—
(a)which does not appear to him to be one that he is required to report under subsection (2) above, but
(b)which he has reasonable cause to believe is likely to be relevant for the purposes of the exercise by the Commission of any of its functions,
he may make a report on the matter to the Commission.
(4)Where the duty or power under subsection (2) or (3) above has arisen in relation to a person acting in the capacity mentioned in subsection (1), the duty or power is not affected by his subsequently ceasing to act in that capacity.
(5)Where a person makes a report as required or authorised by subsection (2) or (3), no duty to which he is subject is to be regarded as contravened merely because of any information or opinion contained in the report.
(6)In this section “connected institution or body”, in relation to a charity, means—
(a)an institution which is controlled by, or
(b)a body corporate in which a substantial interest is held by,
the charity or any one or more of the charity trustees acting in his or their capacity as such.
(7)Paragraphs 3 and 4 of Schedule 5 to this Act apply for the purposes of subsection (6) above as they apply for the purposes of provisions of that Schedule.”
(2)In section 46 of the 1993 Act (special provisions as respects accounts and annual reports of exempt and excepted charities)—
(a)in subsection (1) for “sections 41 to 45” substitute “ sections 41 to 44 or section 45 ”; and
(b)after subsection (2) insert—
“(2A)Section 44A(2) to (7) above shall apply in relation to a person appointed to audit, or report on, the accounts of an exempt charity which is not a company as they apply in relation to a person such as is mentioned in section 44A(1).
(2B)But section 44A(2) to (7) so apply with the following modifications—
(a)any reference to a person acting in the capacity mentioned in section 44A(1) is to be read as a reference to his acting as a person appointed as mentioned in subsection (2A) above; and
(b)any reference to the Commission or to any of its functions is to be read as a reference to the charity's principal regulator or to any of that person's functions in relation to the charity as such.”
(1)After section 49 of the 1993 Act insert—
The provisions of Schedule 5A to this Act shall have effect with respect to—
(a)the preparation and auditing of accounts in respect of groups consisting of parent charities and their subsidiary undertakings (within the meaning of that Schedule), and
(b)other matters relating to such groups.”
(2)Schedule 6 (which inserts the new Schedule 5A into the 1993 Act) has effect.
The Whole Act you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
The Whole Act you have selected contains over 200 provisions and might take some time to download.
Would you like to continue?
Would you like to continue?
The Schedules you have selected contains over 200 provisions and might take some time to download. You may also experience some issues with your browser, such as an alert box that a script is taking a long time to run.
Would you like to continue?
Latest Available (revised):The latest available updated version of the legislation incorporating changes made by subsequent legislation and applied by our editorial team. Changes we have not yet applied to the text, can be found in the ‘Changes to Legislation’ area.
Original (As Enacted or Made):The original version of the legislation as it stood when it was enacted or made. No changes have been applied to the text.
Geographical Extent: Indicates the geographical area that this provision applies to. For further information see ‘Frequently Asked Questions’.
Show Timeline of Changes: See how this legislation has or could change over time. Turning this feature on will show extra navigation options to go to these specific points in time. Return to the latest available version by using the controls above in the What Version box.
Text created by the government department responsible for the subject matter of the Act to explain what the Act sets out to achieve and to make the Act accessible to readers who are not legally qualified. Explanatory Notes were introduced in 1999 and accompany all Public Acts except Appropriation, Consolidated Fund, Finance and Consolidation Acts.
Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include:
Use this menu to access essential accompanying documents and information for this legislation item. Dependent on the legislation item being viewed this may include:
Click 'View More' or select 'More Resources' tab for additional information including: