Approach by Limited Company in process of obtaining Charitable Status

Posted by bstock PM | on Wed, 17/03/2010 - 20:15 440 7 comments | report

I run a very small accountancy business and have been approached by a company limited by guarantee, in the process of applying to be a registered charity, to act as their accountant.

My question is if I agree to donate my services do I still need to undertake the MLR checks with regard to identities of directors/members etc.

Comments

Times we live in?

pawncob | Wed, 17/03/2010 - 20:52 | Permalink

The rules don't make exceptions for good works, I'm afraid.

Do it by the book.

Suppose I shouldn't be surprised

bstock | Wed, 17/03/2010 - 22:31 | Permalink

Thanks pawncob for the confirmation.

So I need ID checks on all the directors - wonderful!

Sorry but I am totally fed up, things have gone completly mad. There's little me and no doubt many more like me with extremely small businesses. Not only do we have to get ID information from all our paying clients and from people we just want to help but as well as all this we are expected to be unpaid undercover tax policemen. All that's bad enough but the really infuriating thing is myself and people like me also have to pay HMRC £120 for the bloomin priviledge!

Thought that little rant might make me feel better - guess what? - It didn't, but thanks for reading.

Does my busness entity status make any difference?

bstock | Thu, 18/03/2010 - 08:35 | Permalink

Just a little material fact that I forgot to mention in my OP. DOH!!

Myaccountancy/bookkeeping business is a one man limited company, would this make any difference at all with regards to the fact that I was donating my personnal services, not the companies , as to whether the MLR ID checks were necessary?

Or am I barking up the wrong tree again??

Thanks

........Brian

I think you are carrying out a regulated activity regardless

Chris Smail | Thu, 18/03/2010 - 10:20 | Permalink

It's not so hard to get copy photo id.

Strange world

pawncob | Thu, 18/03/2010 - 10:25 | Permalink

I think it might.

MLR regs only apply where you charge for accountancy services, so if you act in a personal capacity, it's a moot point as to whether they apply to you. Are you acting in a different manner from when you act for a chargeable client?

One for David Winch, the resident MLR expert on accountingweb.

qualifieds

Anonymous | Thu, 18/03/2010 - 11:28 | Permalink

have to pay considerably more than £120K for regulation through their particular institute.

Thanks pawncob

bstock | Thu, 18/03/2010 - 15:36 | Permalink

Will raise a new thread with a more direct reference to MLR's to catch David's attention