If your charity has a gross income of £250,000 or less and is not a company then you may be able to prepare receipts and payments accounts that provide a simple and flexible basis for accounts preparation.

Small non-company charities with financial years ending on or after 1 April 2009 that have an income of £250,000 or less can choose to prepare receipts and payments accounts. For financial years ending before 1 April 2009 there is a lower gross income threshold of £100,000 above which accrual accounts must be prepared.

We have produced a template for the layout and content of the trustees’ annual report and accounts for charities that can be used by charities that are eligible and choose to prepare their accounts on a receipts and payments basis.

• Receipts and Payments Accounts Pack (CC16)
• Our Example Trustees' Annual Reports and Accounts also contain two examples of accounts prepared using the receipts and payments pack (Westbeach Youth Club and St Emilion’s Parochial Church council)

Small charities can still choose to use the accruals method and should read our guidance Accruals accounts for small charities.