[cma-l] Charitable Status

Office - ccr-fm office at ccr-fm.co.uk
Tue Feb 8 11:31:19 GMT 2011


Jaqui    n’ all

 

Hey !    I have spotted something here 



 of course the discussion is
about V.A.T. 




 and Jaqui mentions the extra admin and the hassle (we
should be all use to it by now anyway)        but, the interesting fact is
this  (as Rolf Harris would say ‘’have you guessed what it is yet?)
Jaqui mentions ‘’near the threshold or not’’                  my observation
is this 






.. if you ain’t anywhere near the threshold and trust me





 this last 12 months we have really slipped away from that threshold
may I ask the question ?

WHEN ARE YOU HOLDING YOUR CLOSING DOWN SALE ?

 

If you catch my drift?

 

How does anyone survive on less than at least fifty five grand 




.. here
lies our problem 







. We operated this year on about £48,000 and now we
are in the proverbial. We know the illnesses and the symptoms, but the DCMS
doctor won’t prescribe any medicine 







 I think it’s a case of ‘’go and
have a lie down, you’ll be OK in a week or two’’
no we won’t Mr Doctor 



. We’re dying !

 

Croak croak gulp gulp 



.. ‘’Help !’’

 

Regards

 

Nick

 

  _____  

From: jaquicma at googlemail.com [mailto:jaquicma at googlemail.com] On Behalf Of
jaqui devereux
Sent: 08 February 2011 10:25
To: Ian Hickling
Cc: office at ccr-fm.co.uk; Glyn Gloss; cma-l
Subject: Re: [cma-l] Charitable Status

 

Dear all

Just as a point of clarification re VAT registration:

It makes no difference at all whether you are a CLG, CIC, charity or
charitable company.  If the sources of your income fall within the scope of
VAT, and the total of those sources in scope exceed the VAT threshold,
currently £70,000, then you MUST register for VAT.  Whether income is within
the scope depends on its nature.  So an out and out grant will not be, a
service level agreement may or may not be (even if for education/training)
depending on the wording and whether the funding body treats it as within
the scope, ads and sponsorship etc almost certainly will be.  Any of the
above organisation types can register voluntarily for VAT but it really is
not worth the extra accounting hassle unless you are quite close to the
threshold (look on the HMRC website for the rules on VAT partial exemption
calculations requirements).  Partial exemption is a minefield!

Hope that helps

Jaqui

On 5 February 2011 18:57, Ian Hickling <transplanfm at hotmail.com> wrote:

 
As I have said many times - the obvious solution is to run three businesses
concurrently:
 
1 - The Community Radio station as a CIC which does not return a profit.
2 - A Charitable arm which can accept charitable donations which does not
retrun a profit and feeds the station.
3 - A commercial limited company which can return a profit from a wide range
of activities, is VAT-registered and feeds the station.
 
It's sensible business practice - not rocket science.
 
To lose that much VAT by default is just plain stupid - sorry!
 

  _____  

From: office at ccr-fm.co.uk
To: info at a-bc.co.uk; cma-l at commedia.org.uk
Date: Sat, 5 Feb 2011 14:34:48 +0000
Subject: Re: [cma-l] charity status

Glyn n’ all

 

Thanks Glyn 



. As I said 
. It looks like everyone is fumbling around in
the dark. Either we can as a fraturnity / brotherhood or we can’t 

.. which
is it 
. ??  I dunno’?

 

Regards

 

Nick

 

  _____  

From: glyn.m.roylance at googlemail.com [mailto:glyn.m.roylance at googlemail.com]
On Behalf Of Associated Broadcast Consultants
Sent: 04 February 2011 22:59
To: Office - ccr-fm
Cc: CMA-L
Subject: Re: [cma-l] charity status

 

Yes we had the same experience.  Essentially we discovered that a community
radio station could not be a charity unless it fulfilled one of a number of
narrow categories .  ie: if we decided to be a religious radio station then
bingo, but we did not want to go that way.

 

Instead we went down the CIC route.  It was "sold" to us as being equivalent
to being a charity, but from a recent approach from Inland Revenue I think
it might have some drawbacks compared to being a charity (they seem to treat
us like any other ommercial Ltd company) - but I'm not an expert.

 

Glyn Roylance

GLOSS FM.org

 

On 4 February 2011 18:16, Office - ccr-fm <office at ccr-fm.co.uk> wrote:

Dear All

 

Just a quick enquiry 





. Does anyone know how many Community Radio
Stations in our fraturnity/brotherhood are actually charities ??     I know
that we looked into it 7 years ago but the process was a complete nightmare.
Also, in 2004 I clearly remember that the Charities commision simply had NO
category for radio 
.. it was almost as if they didn’t understand it >?>?
I think the key to it and the crux of the matter was that we were
technically ‘’all over the place’’ in what we were providing 


 in
otherwords, providing a lot, but nothing specific !
almost          ‘’a jack of all trades but master of none’’

 

Have any of you guys had a similar experience ?                       I seem
to recall that there is a station on the south coast as a charity ??
plus         Regen (near to us) in South Manchester who do run Wythenshawe
FM and ALL FM 





 outside of that, I’m a bit clueless to be honest 

.
Any ideas ?

 

What about Sheffield and of course the CMA ?

 

Many thanks

 

Regards

 

Nick


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Twitter: http://twitter.com/community_media
Facebook Fans: http://bit.ly/cog8n5
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-- 
Jaqui Devereux
Director, Community Media Association



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