While completing a set of CIC accounts recently, it struck me that not a lot is written about CIC reporting, so I thought it would be useful to share this information.
As mentioned in a previous blog a CIC is a type of limited company structure. It is a company with a social purpose and its assets and profits are predominantly used for the benefit of the community it is set up to serve.
Standard filing requirements of a CIC
As a limited company, a CIC is required to meet the same filing requirements as other limited companies, including:
- Filing annual confirmation statement
- File annual company accounts to Companies House
- Filing corporation tax returns to HMRC
Additional Filing requirements of a CIC
In addition to the above, a CIC must submit an annual report to the Community Interest Company regulators. The report submitted is called a CIC 34.
CIC 34 is a form to be completed by CICs for providing specified information including, information about the charity and its activities, consultations with its stakeholders during the reporting period, directors’ renumeration and any asset transfers. As the regulator files the report in the public domain, the CIC 34 serves as an opportunity for the CIC to highlight the impact it has made during the reporting period, on the community it is set up to benefit.
There are two types of CIC 34 to complete (detailed and simplified) but most CICs will complete a simplified one, whereas CICs with complex financial arrangements will have to use the detailed version of the form.
How to file CIC Reports
A complete set of CIC accounts i.e. the CIC annual accounts and CIC 34 form can be filed online (and a fee of £15 is payable when filing). However, online filing of dormant, abridged, or micro-entity CIC accounts is currently not possible, but the CIC can choolse to file full accounts online.
A CIC whose preference is to file micro – entity or abridged accounts will have to do so by registered post (accompanied by a cheque of £15) to the address stated in section 19 of this guidance.
Who can file abridged or micro-entity accounts?
CICs that do not meet the criteria of a small CIC during the reporting period can submit abridged or micro-entity accounts.
The criteria to qualify as a small CIC is that at least two of the below apply;
- Turnover of no more than 10.2m,
- Balance sheet size no more than £5.1m and
- Average number of employees no more than 50
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