2.—(1) Section 249A of the 1985 Act (exemptions from audit for certain categories of small company)(1) is amended as follows.
(2) In subsection (2), for the words “a company”, substitute the words “a company which is a charity and”.
(3) In subsection (3)(b) for “£90,000” substitute “£350,000”.
(4) Insert the following subsection after subsection (3)—
“(3A) In relation to any company which is a charity, subsection (3)(b) shall have effect with the substitution—
(a)for the reference to turnover of a reference to gross income, and
(b)for the reference to £350,000 of a reference to £90,000.”
(5) In subsection (4)—
(a)for the words “a company” substitute the words “a company which is a charity”, and
(b)in paragraph (b)—
(i)for the word “turnover” substitute the words “gross income”, and
(ii)for “£350,000” substitute “£250,000”.
(6) Subsection (5) is hereby repealed.
(7) Insert the following subsection after subsection (6)—
“(6A) A company is entitled to the exemption conferred by subsection (1) or (2) notwithstanding that it falls within paragraph (a) or (b) of section 250(1).”
(8) Section 249A shall be deemed, since the commencement of that section, to have had effect as amended by paragraph (7).
Section 249A was inserted by regulation 2 of S.I. 1994/1935.