Gross income

If you take one definition away from this glossary, make it this one. Gross income decides whether you must register, which kind of accounts you prepare, whether anyone has to examine or audit them, and which tier of the SORP applies to you.

Gross income is a statutory concept, not a management-accounts figure. It is not your turnover, not your bank receipts, and not the bottom line of a spreadsheet. Getting it wrong pushes a charity into the wrong regime in either direction — filing accounts nobody required, or failing to get an audit that was mandatory.

Before you rely on a number, check how it is defined for your jurisdiction — Scotland’s definition differs from England and Wales — and use the accounts checker to see which regime you land in.