[ Pobierz całość w formacie PDF ]
.1.Right of association guaranteed by law?Incorporated by Royal Charter-obtainedThere is no written right to associationsthrough Royal Charter.although there exists freedom ofIncorporated by Act ofassociation.There is a freedom to createParliament-obtained through Act oftrusts although in some cases trusts withParliament.non-charitable objects may be void.Unincorporated associations-No.2.Basic definitionTrust no; however, the body of trusteesThere is no single generally acceptedcan obtain legal personality throughlegal definition of an association.In itsCertificate of incorporation issued bywidest sense, an association is oneCharity Commission.formed by two or more people who oftheir own volition join together in a7.Legal capacitycommon purpose which is not in pursuitThere are no restrictions in statute;of financial gain.however, in some areas capacity will be3.Minimum number of foundersderived from the objects and powersincluded in the governing document.In practice two.8.Statutes4.Types of associationNo.Unincorporated associations9.Registration requirementsTrustRegistration with the CharityCompany limited by guaranteeCommission for charities in England andIndustrial and Provident societyWales.For other associations,Incorporated by Royal Charterregistration will depend on the legalIncorporated by Act of Parliament.structure.Registration with the Registrarof Friendly Societies for Industrial and5.Membership nationality requirementsProvident Societies, registration with theNo requirements for associations asRegistrar of Companies for companiessuch.In the case of a charity in Englandlimited by guarantee.and Wales, the Charity commission will10.Commercial activitiesonly register if within jurisdiction.This isnormally construed to mean that in theThere is a restriction on the commercialcase of an unincorporated charity aactivities of charities.They can engagemajority of the trustees should bein primary-purpose trading but not inresident in England and Wales, in thepermanent trading as a means of fund-case of a company registration within theraising.Charities that wish to trade tojurisdiction is sufficient.any substantial degree must set up aseparate trading subsidiary which canthen covenant its profits back to the79parent charity and the tax can be Charities are exempt from most forms ofrecovered.direct taxation including income tax,corporation tax, capital gains tax,11.Disposal of assets on liquidationinheritance tax.In associations, this will be in17.Criteria for recognitionaccordance with the governingdocument.To qualify for the exemption, the incomeor gains must be applied to charitableIn the case of charities, to other charitiespurposes only and trading income otherwith similar purposes.If the governingthan primary-purpose trading will oftendocument does not include provisionsbe subject to corporation tax.dealing with this, the CharityCommission may give directions by 18.Qualifying objects for recognitionOrder or Scheme.19.Gifts by individualsTAX POSITIONWhen an individual or corporationexecutes a deed of covenant promisingto pay a particular sum to a charity for aINDIRECT TAXperiod to exceed three years, a sum12.Article 13 of Sixth VAT Directiverepresenting tax at the basic rate must beNot all exemptions of relevance todeducted and the Inland revenue refundscharities have been implemented.to the charity the basic rate of income or13.Other specific exemptionscorporation tax on that sum.Additionally, if the individual is a higher-(a) The supply of education orrate tax payer, he can receive further taxvocational training otherwise than forrelief trough the adjustment of his taxprofit.code.A company can claim a deduction(b) The provision of nursing andfrom its profit for the gross amount, andmedical care in an approved institution.obtains tax relief at its marginal rate.(c) The provision of welfare servicesSimilarly, since 1990 individuals haveotherwise than for profit.been able to make one-off payments(d) Fund-raising events.under Gift Aid.Currently the minimum14.Zero rates donation is £250 in monetary formThese include sales of donated goods,20 [ Pobierz caÅ‚ość w formacie PDF ]