Category: Charities


This affects your favourite charity, your club, your sports group and the list goes on.  There are two cut-off dates of 31st August 2016 and 30th November 2016 for limited companies to change (convert) to one of the new company formats under the Companies Act 2014.  This applies to ALL limited companies, both trading companies and those charities, clubs or sports groups who are set up as limited companies.

This is not something that can be done in five minutes.  A Special Resolution needs to be submitted to the Companies Registration Office (CRO) together with a new constitution for the company.  The CRO will then issue a new Certificate of Incorporation when the company is converted.

For charities there is an extra step.  Charities need to draft their new constitution and submit it to the charities section of Revenue for them to agree it.  This is a requirement for those charities who are able to reclaim tax on donations.  Then the constitution needs to be lodged with the CRO for the company to be converted.  If you leave it to the last minute then you will be caught in bottlenecks in Revenue and also in the CRO and may miss the deadline.

More information on these matters can be found at www.cro.ie/Conversions/Overview; www.cro.ie/Publications/Publications/Information-Leaflets leaflet No 31; http://www.charitiesregulatoryauthority.ie/

Charities Regulatory Authority

The Charities Act 2009 requires all charitable organisations carrying out activities in the State to be registered with and to provide information relating to their organisation to the Charities Regulatory Authority. This includes both those charities who are, or who are not, registered with Revenue for the purpose of receiving tax back on donations.

There are currently about 8,500 charities registered with Revenue and these can be seen at http://www.revenue.ie/en/business/authorised-charities-resident.html .

Charities are now required to complete their registration at www.charitiesregulatoryauthority.ie . The process has been simplified in response to feedback from users. After the basic registration has been done the charity can maintain various information relating to their charity themselves. Depending on their turnover, they may also be required to supply financial accounts.

Staff from the Authority are currently doing road-shows in a very co-operative hand-on fashion explaining the process of registration and answering questions.

This registration process will, in due course, also extend to all schools and to Parent Teacher Associations and other sub-level groups.

More information can be found at www.charitiesregulatoryauthority.ie .

1 cent and 2 cent coins will soon be history. From the end of October 2015 retailers will be rounding your bill up or down to the nearest 5c, thus eliminating the need for the 1c and 2c. This will apply to the final total on your bill, not the individual cost of items. You will still find an item costing 99cent and that will remain.

You will not be asked about this. As long as there is a public notice in the shop, the retailer can round your bill up or down to the nearest 5c. Notices will start appearing in mid-October as the public are informed about the change.

Experiments have been on-going in the South East and proved to be cost-effective and are now being extended country-wide.

The following shows the effect:
Bills ending in 1c will change to 0c.1-cent 2-cent
Bills ending in 2c will change to 0c.
Bills ending in 3c will change to 5c.
Bills ending in 4c will change to 5c.
Bills ending in 5c will still end in 5c.
Bills ending in 6c will change to 5c.
Bills ending in 7c will change to 5c.
Bills ending in 8c will change to 10c.
Bills ending in 9c will change to 10c.
Bills ending in 10c will still end in 10c.

What to do if you have 1c or 2c
You will still be able to use these in shops e.g. 2 X 2c and 1 X 1c to make 5c. As the shops take them in they will be lodged in the banks. The banks will pass them on to the Central Bank who will withdraw them from circulation.

Many of these coins end up in charity piggy banks which means that many new ones had to be minted which put costs up. These piggy banks can be emptied and the contents lodged in the banks.

There will be a substantial amount of time where the coins still remain legal tender and so can still be used.

Yes the New Companies Act has finally come! After many years of waiting the Act has been signed into law and we have the most comprehensive overhaul of company law since our state was founded. Every limited company will be affected. Every director, company secretary, auditor, member and many others will be affected. For your information, there will be PLCs, DACs, UCs, PULCs, CLGs, ULCs as well as LTDs. Now – don’t you feel better knowing all that?

But don’t put your head in the sand. It will be necessary for each company to see what type of new company structure best fits their purpose and make the necessary changes. There will be an 18 month transition period from the date the Act is commenced (expected to commence on 1st June 2015).

Then forms will need to be filled in and changes made to your corporate structure. Information is still a bit sparse but check the Companies Act 2014 for more details as they become available.

By the way – changes will apply to charities too under this legislation.