Independent examination reports

Charities with gross income of more than £25,000 in their financial year are required to have their accounts independently examined or audited. Below that threshold, an external scrutiny of accounts is only needed if it is required by the charity’s governing document.

Bevan & Buckland can act as independent examiner or auditor. We have over 30 years’ experience in the charity and not for profit sector and have charity specialists within all of our offices. Our Swansea office is both our “Charity Centre for Excellence” and our “Charity Champion”.

We attend annual charity specific conferences in addition to regular courses to ensure we are aware of any issues affecting the sector.

We currently act for over 100 charities and not for profit organisations either as external auditors or independent examiners.

Independent examination or audit

There are statutory thresholds which determine the type of external scrutiny required for a charity’s accounts. However, any specific provision in the charity’s governing document overrides the statutory provisions if it demands a higher standard of scrutiny.

Broadly speaking, an independent examination is needed if gross income is between £25,000 and £1,000,000 and an audit is needed where the gross income exceeds £1,000,000. An audit will also be needed if total assets (before liabilities) exceed £3.26m, and the charity’s gross income is more than £250,000.

Independent examination reports

To maintain public confidence in the work of charities, charity law requires most charities to have an external scrutiny of their accounts. If a charity is not required by law or its governing document to have an audit then trustees may choose a simpler and less expensive form of external scrutiny called an independent examination.

An independent examination may be a simpler form of scrutiny but it still provides trustees, funders, beneficiaries, stakeholders and the public with an assurance that the accounts of the charity have been reviewed by an independent person.

An independent examination provides an external check on the accounts and can be carried out by any person with the relevant ability and experience. An examination is a less onerous form of scrutiny than an audit and provides less assurance in terms of the depth of work which is to be carried out.

An examiner is only required to confirm that no evidence has been found that suggests certain things have not been done by the charity. This form of ‘negative assurance’ is a more limited form of scrutiny. The examiner is not acting as an auditor and so is not required to plan their work to identify material fraud or to test the internal financial controls operating in the charity.

An examination involves a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also involves a review of the accounts and the consideration of any unusual items or disclosures identified. It is important to note that verification and vouching procedures, where an item in the accounts is checked against an original document such as an invoice or a receipt, only become necessary where significant concerns are identified from the work of the examiner, or where satisfactory explanations cannot be obtained from the trustees.

The examiner is only required to provide a statement on specific matters that have come to their attention as a result of the examination procedures specified in the directions made by the commission. This is a simpler requirement than that of an audit.

Charity audit reports

In addition to the work undertaken by an independent examination, an auditor is required to build up a body of evidence to support a positive statement of opinion on the accounts. In particular, an auditor is required to form an opinion as to whether the accounts show a ‘true and fair view’. An audit involves a systematic examination and verification of a charity’s books and records, other relevant documents, and physical inspection of assets.

How we can help

Bevan & Buckland are proud to work with many of Wales’ leading not-for-profit organisations. We currently provide services to a range of not-for-profit clients such as charities, housing associations and other public sector bodies.

Over the past 20 years we have developed our specialist knowledge of this sector which has allowed us offer a high quality service at an affordable price. We are able to offer a range of services tailored to your needs and have helped a number of our clients grow and flourish. We now work with a wide range of clients from small community charities with turnovers of less that £10,000 up to national charities who work across Wales.

Charity and non profit

Bevan Buckland are proud to work with many of Wales’ leading charities and not for profit organisations.

Read more

Charity training courses

These are essential to help you meet your staff and trustee training requirements.

Read more

Trustees required

We are happy to promote Trustee vacancies here and also within our regular Charity Newsletter.

Read more

Forming a charity

We can help you through the process of picking the right type of charity for you.

Read more

Board training

We are able to offer a range of services tailored to your needs and have helped a number of our clients grow and flourish. 

Read more

Advice on trading subsidiaries

Ensuring a training subsidiary is set up properly is critical. 

Read more

Setting up a social enterprise

We act for many different social enterprises, from incorporated trust through to charities.

Read more

Had a great consultation with Harry on Tuesday morning, couldn't have wished for a better start to a great working relationship as I certainly will be using these guys' services in the future. Very professional from the moment we walked in , we were greeted warmly by the lovely receptionist Natasha and didn't wait long for our meeting to start at all, couldn't recommend these folks enough!
Caitlin Cooze
Caitlin Cooze
14:01 09 Aug 19
This is one of the largest accountancy offices in South West Wales with a history spanning over 100 years. This team of dedicated professionals certainly know what they are doing; in fact in my opinion they are the best practice in South West Wales by far. They've provided advice and support to my businesses over many years and despite their size, they still ensure immediate and personal access to the right people when advice or consultation is needed. Harri Lloyd Davies is one of the best in the business.
Laurence Winmill
Laurence Winmill
08:42 06 Dec 18
After using a few different accountancy firms, I must say; Bevan Buckland are head and shoulders above all of my experience. Genuine people who always have my business's interests at heart! Completely guided me through Making Tax Digital ready for April 2019.Cannot recommend them enough.
Jonathan Mayne
Jonathan Mayne
15:56 22 Nov 18
I would not hesitate in recommending Bevan And Buckland if you are looking for an accounting firm. Kristian is a real asset to the company and has made our transition across to them seamless. Kristian listened to the brief provided and has acted accordingly providing endless support from start to finish.
Sarah Draper
Sarah Draper
21:40 24 Oct 17
Moving our business to Bevan & Buckland was like a breath of fresh air. Their accounts team are so friendly and approachable, easy to communicate with and easy to understand! They have a very efficient operation there, backed by a great understanding and use of available technology. This is important to us as it helps us to be more efficient with our accounting and leads to lower costs. I would highly recommend Bevan and Buckland's services to any business.
Simon Toft
Simon Toft
12:29 30 Mar 17
Bevan Buckland LLP rated 1 of the 3 Top Accountants in Swansea