Regulators seek views on amendments to the SORP
The Charity Commission for England and Wales and the Office of the Scottish Charity Regulator are inviting comments on amendments to the Charities Statement of Recommended Practice (SORP) following changes in UK-Irish accounting standards.
The consultation launched on 20 February 2018 will run for 6 weeks. It is focused on 21 proposed amendments to the SORP which are considered necessary as a result of the changes made to The Financial Reporting Standard (FRS102) in December 2017. The changes are:
- introduction of an accounting policy choice for entities that rent investment property to another group entity
- clarification of the accounting treatment for payments by subsidiaries to their charitable parents that qualify for gift aid
- clarification of the requirement for comparatives for disclosures required by the SORP
- introduction of a requirement for a net debt reconciliation to be prepared as a note to the statement of cash flows
The consultation will close on Wednesday 4 April 2018.
For more information on the consultation, please visit the SORP website. Following the consultation, the changes will come into effect for accounting periods beginning on or after 1 January 2019.
If you would like to discuss the changes in more detail, please contact Michaela Johns on 023 8046 1256.