Singapore legislation
Clause 14
Clause 14
Annual audit or examination of charity accounts
(1)
Subsection (2) shall apply to a financial year of a charity (referred to in this section as the relevant year) if the charity’s gross income or total expenditure in —
the relevant year;
the financial year of the charity immediately preceding the relevant year (if any); or
the financial year of the charity immediately preceding the year specified in paragraph (b) (if any),exceeds $250,000 or such other sum as the Minister may by notification prescribe.
(2)
If this subsection applies to a financial year of a charity, the accounts of the charity for that year shall be audited by a person who is, in accordance with section 9 of the Companies Act [Cap. 50], approved as an approved company auditor.
(3)
If subsection (2) does not apply to a financial year of a charity, then (subject to subsection (4)) the accounts of the charity for that year shall, at the election of the charity trustees, either —
be examined by an independent person who is reasonably believed by the trustees to have the requisite ability and practical experience to carry out a competent examination of the accounts (referred to in this Act as an independent examiner); or
be audited by an approved company auditor.
(4)
Where it appears to the Commissioner —
that subsection (2) or (3) (as the case may be), has not been complied with in relation to a financial year of a charity within 10 months from the end of that year; or
that, although subsection (2) is inapplicable to a financial year of a charity, it would nevertheless be desirable for the accounts of the charity for that year to be audited by an approved company auditor,the Commissioner may by order require the accounts of the charity for that year to be audited by a person appointed by the Commissioner.
(5)
The expenses of any audit carried out by an auditor appointed by the Commissioner under subsection (4), including the auditor’s remuneration, shall be paid —
by the charity trustees of the charity concerned who shall be personally liable, jointly and severally, for those expenses; or
to the extent that it appears to the Commissioner not to be practical to pay those expenses in accordance with paragraph (a), from the funds of the charity.
(6)
The Commissioner may give such directions as he may think appropriate with respect to the carrying out of an examination in pursuance of subsection (3)(a), and any such directions may either be of general application or apply to a particular charity only.
(7)
Nothing in this section shall apply to an exempt charity or a charity which is a company.