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1. Annual reporting to OSCRSubmission of annual returns, supplementary monitoring returns and accounts to OSCRA guide for advisors of smaller charities 3.1 version 3

2. Monitoring by OSCR Why does OSCR carry out monitoring? • OSCR has powers under the Act to obtain information from and make enquiries about charities • to check compliance with the Act and Regulations • to identify misconduct, mismanagement or misuse of charitable property • to gather, interpret and provide information about the charitable sector • to provide information on each charity and update the Register of Charities 2

3. Regulatory principles Independence: acting without fear or favour in the public interest Proportionality: mindful of the burden of regulation on charities of different sizes, the degree of risk and potential impact Accountability: ongoing dialogue and consultation with all stakeholders Transparency: a freedom of information culture Consistency: objective decision making as an exemplar of best practice Fairness: powers and discretion exercised with impartiality and even-handedness 3

4. Monitoring by OSCR What information does OSCR monitor? • Annual Return and accounts from all charities • Supplementary Monitoring Return from charities with gross income of £25,000 or more • Less financial detail required on the Supplementary Monitoring Return for charities with gross income between £25,000 and £100,000 4

5. Monitoring by OSCR When is the information required? • Annual Return and (if applicable) Supplementary Monitoring Return forms are issued the day after a charity’s financial year end. • Completed forms must be submitted within nine months of the charity’s financial year end. • Forms should be submitted at the same time as the accounts 5

6. Monitoring by OSCR What information does the Annual Return collect? • charity legal name and number • other names by which it is known • principal contact name and address • constitutional form • details of any parent charity • accounting year end • gross income in last accounting period 6

7. Monitoring by OSCR What information does the Annual Return collect? • applicable charitable purposes • beneficiary groups • type of activity • geographical spread • location of head office • details of any connected trading companies 7

8. Monitoring by OSCR How should the Annual Return be completed? • form is pre-populated with current information held on the Register • opportunity to update any changes • signed and dated by one of the trustees. 8

9. Monitoring by OSCR What is the Supplementary Monitoring Return? • issued to all charities with gross income of more than £25,000 • a breakdown and analysis of financial information more detailed than what is available from the accounts • ensures that comparable figures for all charities can be entered on the Register • more detailed analysis for charities with gross income of more than £100,000 • issued with guidance notes 9

10. Monitoring by OSCR What information does the Supplementary Monitoring Return collect? • breakdown of income and expenditure according to type (totals only if between £25,000- £100,000) • information extracted from balance sheet • fundraising activities • numbers and residency of trustees • payments to and transactions with trustees • dealings with connected trading companies 10

11. Monitoring by OSCR How should the Supplementary Monitoring Return be completed? • cannot be completed until the accounts are finalised • refer to accompanying guidance • figures rounded to nearest pound • charities with gross income over £100,000 must complete all lines A1 to A15 • all charities over £25,000 must complete totals A7 and A15 • all charities over £25,000 must complete all other sections of the form , indicating where not applicable 11

12. Monitoring by OSCR What happens if accounts / returns are late? first reminder on Register annual return history listed as OVERDUE second reminder third reminder passed to Compliance Support as a non-submitting charity. Status changes from ACTIVE to PASSED TO COMPLIANCE Charity status listedas DEFAULTINGPublished on OSCR website 4 weeks before deadline: 1 day after deadline: 2 weeks after deadline: 4 weeks after deadline: after further 4 weeks: after 6 months: 12

13. Monitoring by OSCR How does OSCR process the information it receives? • information is checked and entered into a database • two stage validation process to check that the information has been received, that the forms are complete and the accounts are in the correct format • entry on the Register will change according to validation status • ‘exceptions checking’ for accounts over £25,000 13

14. Monitoring by OSCR - the future Integrated Reporting 2011 The Integrated Reporting project brings together four key strands: A review of the Register A review of OSCR’s annual monitoring programme, which has now been in operation for four years Streamlining and integration of the Rolling Review programme into the annual monitoring programme The introduction of on-line services. 14