All Local Councils are required to complete an annual financial return detailing the Council’s financial position no later than 30th June each year.
The Annual Return currently comprises of four sections:
Section 1: The Annual Governance Statement
This section requires the Town Council to acknowledge its responsibility ensuring a sound system of internal control is place with the council and that preparation of accounting statements has been completed in accordance with these controls.
Section 2: The Statement of Accounts
This section is a summary of the accounts to be signed off by the Chair and recorded under the minutes of the meeting.
Section 3: External Auditor Certificate and Report
This section is completed by the external auditor appointed by the Audit Commission.
Section 4: Annual Internal Audit Report
This section provides evidence that the internal auditor acting independently of the Town Council has undertaken a selective assessment of compliance with relevant procedures and controls expected to be in place during the financial year.
The Annual Return along with supporting documents is submitted to the nationally appointed external auditor for review.
The External Audit review ensures the Town Council have complied with it’s legal obligations including items listed below and is usually completed by the end of September each year.
- The agreement of the Annual Budget and Precept by the full council
- The agreement of the Annual Return by the full council
- The Annual Risk Assessment has been agreed by the Council
- The annual review of the effectiveness of internal audit has been carried out
- The calculations submitted on the Annual Return are correct
- The year end bank reconciliation is accurate
Previous Annual Returns