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Additional notes for Scottish units

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In Scotland, accounting by charities is regulated by the Charities Accounts (Scotland) Regulations 2006, and the statement of recommended practice for accounting by charities. The requirements for the end-of-year accounts statement differ from those mentioned previously and are detailed below. However, the notes relating to the standard of record-keeping required are applicable and should be followed as they represent the minimum standard acceptable.

 

Charity registration

In Scotland it is the Office of the Scottish Charity Regulator (OSCR) which recognises charities and awards the charity number. Girlguiding UK’s Scottish Headquarters (SHQ) and all the Scottish Counties have their own charity numbers.

 

Year-end accounts

An independent review of a unit’s accounts is a legal obligation in Scotland for all levels of gross income. The level of review required and the format of accounts vary according to the gross income.

 

Examination of accounts

The detail to be included in the accounts and the degree of scrutiny to which they must be subjected varies according to the annual income of the unit. There are three bands:

 

Under £25,000:

Statement of accounts: This must consist of a receipts and payments account, a statement of balances and a simple annual report.

External scrutiny: This must consist of an independent examination by a suitable person.

 

£25,001 up to £100,000:

Statement of accounts: This must consist of a receipts and payments account, with a balance sheet and statement of financial activities by way of a note to the accounts. The annual report must include a financial report and an executive report.

External scrutiny: An independent examination by a suitable person is required unless the constitution requires audit by a registered auditor.

 

£100,001 and over:

Statement of accounts: This must consist of a receipts and payments account, with a balance sheet and statement of financial activities by way of a note to the accounts. The annual report must include a financial report and an executive report.

External scrutiny: The accounts must be audited by a registered auditor.

 

Independent examination

All units' accounts should be examined by a suitable independent person. The District Commissioner must ensure that the accounts are examined and she may appoint a suitable person to do this. This person should be thought by the District Commissioner or Treasurer to possess the ability and practical experience to make a competent examination of the accounts. They should not be related to the unit Leader or the Commissioner. Once the accounts have been examined and signed they should be forwarded to the Division or County Treasurer and kept on file.

The independent examiner must compare the accounts with the accounting records and decide whether they are in accordance with each other. The examiner will also look for unusual items or disclosures in the accounts.

The same process should be carried out at District, Division and County level, and the examined accounts forwarded on to the next level. This process should be followed for all accounts held with Girlguiding UK.

 

Help and advice

For help or advice on your unit accounts, please contact your local Commissioner, who may then refer you to your County Treasurer or SHQ directly.

Page last updated: 12/22/2011