Charity VAT exemptions for fundraising events under threat as HMRC ignores tribunal ruling

Written by VAT Partner, Sandy Cochrane A landmark court victory for charity fundraising events has been overshadowed by HMRC’s refusal to align their policy with the tribunal’s findings. The Yorkshire Agricultural Society’s successful challenge to HMRC’s restrictive interpretation of VAT exemptions should have provided welcome clarity for the charity sector. Instead, charitable organisations find themselves […]

Webinar recording: What’s keeping charities up at night?

In this joint webinar from Gravita and Barclays, we explore the practical pressures and longer-term challenges facing charities today. From squeezed funding and rising inflation to regulatory updates and VAT changes, the conversation is grounded in what boards and finance teams are dealing with right now. Talk to us he panel included Gravita’s Katherine Wilkes, […]

What’s keeping charities up at night? Economic, Accounting and VAT insights with Barclays

Join Katherine Wilkes, Audit Partner, and Sandy Cochrane, VAT Partner, from Gravita as they talk to Will Hobbs, Barclays head of UK Multi Asset Wealth, about the economic, accounting and VAT challenges facing charities and not-for-profit organisations. Focusing on the recent Spring Statement, ongoing economic conflicts, and the impact of Trump, our speakers will dive […]

Celebrating International Women’s Day with Gardner Leader: Supporting equality and empowering women across industries

At Gravita, we are proud to work alongside Gardner Leader, a respected law firm with a presence in Oxford and beyond. Our partnership is based on mutual respect and the shared expertise we bring to each other, strengthening our combined efforts to serve clients with excellence. We value the relationship we’ve built and are deeply […]

Charities: Why Having an Audit Matters

22/01/2025 For charities, financial audits are more than a regulatory obligation. They’re a chance to build trust, improve operations, and demonstrate accountability to stakeholders. Gavita has a dedicated charity audit team, Here, we explain why having an audit can be a powerful asset for your charity. Table of Contents Why should charities prioritise having a […]

Charities – income and setting up a trading subsidiary

What’s the issue?  Lots of charities carry out some sort of trading (ie selling goods or services) to help raise funds to pursue charitable objectives. A charity might sell items in a gift shop or rent rooms in its property, for example. The problem is that, unless this is monitored carefully, profits earned from trading […]

Charity Total Return Accounting

Charities in England and Wales are permitted (subject to conditions) to adopt total return accounting in respect of their permanent endowment funds, but how is this accounted for?   Normal treatment   Without total return accounting, investment income earned from endowment funds is credited to unrestricted or restricted funds in the Statement of Financial Activities […]

The Statement of Recommended Practice (SORP) for Charities: What you need to know

The Statement of Recommended Practice (SORP) for charities in the UK is a crucial framework that guides the preparation of financial statements and annual reports for charitable organisations. This framework ensures that charities present their financial information transparently and consistently, maintaining the accounting standards. Talk to us What is charity SORP? The SORP provides detailed […]

Charity Tax Issues

Most charities will have to complete corporation tax returns if notified to do so by HMRC or where they have non charitable trading profits that are liable to corporation tax.   Charities where all income and expenditure have been incurred for charitable purposes will not be liable to corporation tax but may still need to […]

Should your charity pay VAT? Understanding reliefs, reclaims, and registration

We often get asked whether charities should pay VAT or not. It’s complex and it depends. There are some ‘reliefs’ available for charities, so they do not always have to pay VAT, but such reliefs are very specific, and the relevant conditions must be met. Unfortunately, many costs incurred by charities will include VAT. However, […]