Understanding the SORP
The Statement of Recommended Practice (SORP) is a crucial framework for charities, guiding them in their financial reporting and ensuring transparency and accountability.
When was it issued?
The SORP was first issued in 2000 and has undergone several updates to reflect changes in accounting standards and the needs of the charity sector.
What does it deal with?
The SORP deals with the accounting and reporting requirements for charities, providing a consistent approach to financial statements and ensuring they meet the needs of stakeholders.
Who should abide by it?
All charities preparing their financial statements in the UK must abide by the SORP, ensuring they comply with legal and regulatory requirements.
What is it for?
The SORP is designed to enhance the clarity and consistency of financial reporting among charities, helping them communicate their financial health to donors, regulators, and the public.
What is the financial reporting mentioned in it?
The financial reporting mentioned in the SORP includes the preparation of annual accounts, reports, and disclosures that reflect the charity's financial activities and position.
Legal requirements in the SORP
The SORP outlines specific legal requirements for charities, including compliance with the Charities Act and adherence to accounting standards, ensuring that charities operate transparently and responsibly.
Need help with SORP compliance?
At Sterling Gate Accountants, we specialize in helping charities navigate the complexities of the SORP and ensure their financial reporting is compliant and effective.
Download SORP Document
What We Offer
- Charity Commission Compliance
We ensure that your charity complies with the Charity Commission’s regulations, including the preparation and submission of financial statements, annual returns, and reports. We help you stay up to date with reporting requirements and ensure all your filings are accurate and submitted on time. - Annual Accounts Preparation and Independent Examination
We assist in preparing your charity’s annual accounts in accordance with the Charity SORP (Statement of Recommended Practice). For charities that require an independent examination, we provide a thorough review of your accounts and issue an independent examiner’s report, helping ensure transparency and accountability in your financial statements. - Charity Governance Support
We provide guidance on governance practices, ensuring your charity’s structure, policies, and procedures align with best practices. This includes advice on trustee duties, internal controls, and compliance with legal frameworks. - Gift Aid Compliance
We assist with the proper administration of Gift Aid claims, ensuring compliance with HMRC rules and maximising tax relief for your charity. We guide you through the process and help ensure that you claim correctly and efficiently.
Benefits of an Overall Compliance Review:
Peace of Mind
You’ll have confidence that your charity is fully compliant with all regulatory obligations, protecting both the charity’s reputation and its financial health.
Proactive Risk Management
By identifying potential issues before they arise, we help reduce the risk of penalties, fines, or legal action.
Improved Governance
We help ensure that your charity’s governance structures and processes are robust, helping trustees fulfil their responsibilities effectively
Ongoing Support
We provide continuous support to guide your charity through any changes in legislation or regulatory requirements
Would you like a Free Discovery call with an accountant
We Offer a Free discovery call, all you need to do is leave your contact details using the below form