Sector
Charity accounts that satisfy the Commission, the SORP and your trustees
For charities, charitable companies, CIOs and community interest companies that need their accounts done properly without paying large firm fees.
What makes charities different
Funds, the SORP and trustee responsibility
Charity accounts follow the Charities SORP, with restricted, unrestricted and endowment funds tracked separately and a Statement of Financial Activities in place of a profit and loss account. A new SORP applies to periods beginning on or after 1 January 2026, changing how income, leases and impact are reported.
Gift Aid adds 25p to every pound donated but only with valid declarations and the records to prove them. Charity VAT is a specialism of its own, with some purchases relieved and most activity partially exempt. Trading beyond the small trading exemption needs a subsidiary. And trustees are personally responsible for getting all of it right.
Who we act for
Every kind of charities business
Registered charities
Unincorporated charities and charitable companies filing with the Commission and Companies House.
CIOs
Charitable incorporated organisations reporting to the Commission alone.
Community interest companies
CICs filing at Companies House with the CIC34 report.
Trading subsidiaries
Where trading income exceeds the exemption and profits are gifted up to the parent.
What we handle
SORP accounts to Gift Aid
SORP compliant accounts and the trustees' annual report, with the SOFA, fund accounting and the disclosures the SORP requires. Fund accounting set up properly in your software so restricted income is tracked from the moment it arrives rather than reconstructed at the year end.
Gift Aid claims and the Gift Aid Small Donations Scheme, with the declaration records HMRC expects. Charity VAT, partial exemption and the reliefs available on advertising, construction and fuel.
Charity Commission annual returns and Companies House filings for charitable companies. Independent examination readiness below the audit threshold and audit readiness above it. Trading subsidiary accounts and the Gift Aid payment to the parent. Budgeting, reserves policies and payroll for charities with staff.
Packages
- Small charity from £95 a month
- Larger charities quoted annually by income and complexity
- Independent examination readiness included
- Trading subsidiary accounts quoted separately
The new SORP applies from January 2026
Periods beginning on or after 1 January 2026 follow the new SORP, with a tiered approach by charity size and changes to income recognition and lease accounting. Preparing on the old basis means restating later.
Questions
Frequently asked
Do we need an audit?
It depends on income and assets. Above £1m income, or above £250,000 income with assets over £3.26m, an audit is required. Below that an independent examination is usually enough, and your governing document may set a lower bar.
What is fund accounting?
Tracking restricted, unrestricted and endowment funds separately, so it is clear what each donor's money was spent on. It is a SORP requirement and the most common thing we have to rebuild.
Can we claim Gift Aid on all donations?
Only on gifts from UK taxpayers who have made a valid declaration and have paid enough tax to cover the claim. Payments where the donor receives a benefit above the limits do not qualify.
Do we need a trading subsidiary?
If non primary purpose trading exceeds the small trading exemption, usually yes. The subsidiary pays its profits up to the charity, which removes the tax.
Are you our auditor?
No. Tax Mesh Ltd is not a registered auditor. We prepare the accounts and records, and get you ready for your independent examiner or auditor to do their work.
Speak to someone who knows charities
Book a free 30 minute call and we will tell you what matters for your business and what it would cost.
Or just pick up the phone
+44 7456 385980info@taxmesh.co.uk
