OPERATIONAL GUIDANCE

PERMANENT ENDOWMENT

RESOLUTION BY THE TRUSTEES OF A TYPE 1 CHARITY TO SPEND THE WHOLE OR PART OF THE PERMANENT ENDOWMENT OF THE CHARITY UNDER SECTION 75 OR 75B OF THE CHARITIES ACT 1993 AS AMENDED BY THE CHARITIES ACT 2006 (CSD 1347B)

OG 44 C1 – 18 March 2008

Purpose

This OG reproduces our public guidance CSD 1347B, available in the Apply for it area on our web site.

Functional responsibility

For information

All staff

Contents

Notes to the form
Section 1 Charity details
Section 2 The resolution
Section 3 Certification
Section 4 Signed by/on behalf of the trustees
Section 5 For Charity Commission use only
Annex 1 Next Steps

Index to further related information

Notes to the form
	Before completing this form please read our guidance note: Permanent Endowment: What is it and when can it be spent? (CSD 1347A) available on the Apply for it area of our website.
	Please ensure that the form is completed accurately as failure to do so could delay our consideration.
	Warning to signatories: It is an offence to knowingly or recklessly provide false information to the Charity Commission. If in doubt about completing this form, you should seek our advice.
	How should this form be completed?
	This form can be signed by:
	(a)	one or more of the trustees; and/or
	(b)	some other person having a competent knowledge of the facts such as the clerk or secretary or professional advisor and signing on the trustees behalf.

Section 1 Charity details
	Charity registration number (if appropriate)
	Charity name

Section 2 The resolution
		Note: If the Commission requires further information to consider the application or considers that the application warrants public notice being given then further instructions will be provided to the trustees of the charity.
	(a) At a meeting held on:
	(b) The trustees resolved to release and spend the permanent endowment of the Charity under	Delete whichever is not relevant* Section 75* / Section 75B*
	(c) The resolution stated as follows: (Please continue on a separate sheet if necessary)
		Note: Please refer to the public guidance section C3.5 and following, for details of the evidence we are seeking when considering this application
	(d) The trustees reasons for passing the resolution are set out here: (Please continue on a separate sheet if necessary)

Section 3 Certification
	(a) The trustees are satisfied that the following conditions have been met:
		(i) That they have been properly appointed in accordance with the governing document of the charity and passed the resolution at a quorate meeting.
		(ii) That the funds in question are permanent endowment.
		(iii) That the permanent endowment was entirely given (please refer to the public guidance for an explanation); and
		(iv) The market value of the permanent endowment (at the time the last financial accounts were prepared) exceeded £10,000; and
		(v) That the gross income of the charity exceeded £1,000 in the last financial year (this condition does not apply to a resolution passed under section 75B).
		(vi) That the proposal is in keeping with the spirit of the gift and where the founder or original donor of the permanent endowment are still able to be consulted they have confirmed that they have no objection to the resolution.
		(vii) Spending capital will reduce the charity’s future income. The trustees can continue to meet their expenditure needs for current and future beneficiaries.
	Please tell us who to contact should we need further information	Name:
		Address:
		Postcode
		Tel No:
		E-mail:

Section 4 Signed by/on behalf of the trustees
	Name
	Address
	Postcode
	Signature		Date
	Name
	Address
	Postcode
	Signature		Date

Section 5 For Charity Commission use only
	The Commission approves the Resolution of the trustees and it is effective from the date embossed below. A copy of this application will be retained with the key documents for the charity:

Annex 1 Next Steps
	1. The Commission will acknowledge receipt of your application if you provide us with an e-mail address.
	2. If the Commission considers that the application is complete and meets the requirements of the legislation we will complete the bottom of the form with the date the resolution becomes effective. If it is the trustees intention to spend the capital and bring the charity to an end they must inform us when they have achieved this goal.
	3. If the Commission requires further information to consider the application or considers that the application warrants public notice being given then further instructions will be provided to the trustees of the charity.
	NB: The transferring charity must not transfer its property as described in the resolution until the authority of the Commission has been given.

Index to further related information