Accounting Services and Financial Reporting for NGOs

Full and secure accounting for foundations and associations

ATF NGO provides comprehensive accounting services for non-governmental organizations, from maintaining accounting records in accordance with the Accounting Act to preparing financial statements and reports required by the National Court Register and relevant ministries.

We understand the specifics of the non-profit sector: diverse funding sources, the division between statutory and commercial activities, grantmaker requirements, and the responsibility of management boards for correct reporting. Thanks to this, we provide accounting services that ensure security, transparency, and full compliance with regulations.

Basic support scope

Bookkeeping in accordance with the Accounting Act.

Comprehensive preparation of annual financial statements.

Preparation of reports for the National Court Register.

Preparing reports for the relevant supervisory ministry.

Who do we dedicate our accounting support for non-profit organizations to?

For foundations, associations, public benefit organizations, entities implementing projects financed by public funds, and NGOs conducting statutory or business activities, requiring professional, legal, and transparent accounting services.

The accounting service process for non-governmental organizations is designed to relieve the board of operational responsibility and ensure full reporting compliance.

Step 1

Analysis of organization and preparation of accounting principles

Evaluation of the specifics of activity and sources of financing.
Verification of existing documentation and reports.
Selection of appropriate accounting principles and chart of accounts.
Development or update of an NGO's accounting policy.

Step 2

Current accounting

Recording of economic events in accordance with the Accounting Act.
Extraction of publicly funded projects.
Accounting for statutory activities, paid services, and economic activities.
Formal and accounting document review.

Step 3

Reporting preparation

Preparation of the annual financial statements.
Preparation of reports for the National Court Register and the ministry.
Preparing reports and statements required by donors.

Step 4

Ongoing advice and security

Current consultations regarding records and documentation.
Preparation of reports for the National Court Register and the ministry.
Preparing reports and statements required by donors.

With us, NGO accounting is transparent, secure, and compliant.

FAQ

Non-governmental organizations operate under specific regulations that differ from those governing entrepreneurs.

What is the difference between NGO accounting and business accounting?

NGO accounting requires maintaining accounting records in a manner that allows for the separation of statutory, paid, unpaid, and business activities (if they exist). Financial statements are prepared according to separate principles, and grants and subsidies must be recorded on a project basis. ATF NGO ensures full compliance with the Accounting Act and the specifics of the non-profit sector.

Do all foundations and associations have to keep full accounting records?

Yes. As a rule, all NGOs are obliged to keep full accounting records in accordance with the Accounting Act. Exceptions are very limited. ATF NGO helps to choose the appropriate accounting policy, keep books, and prepare reports that comply with legal and statutory requirements.

Are non-governmental organizations subject to corporate income tax?

Yes, foundations and associations are CIT taxpayers, however, part of their income may be exempt under Article 17(1)(4) of the CIT Act (non-profit public benefit statutory activity). ATF NGO analyzes the structure of activities and helps to safely account for statutory and business income in order to use exemptions in accordance with the law.

How should an NGO account for business activities conducted alongside its statutory activities?

Business activity must be organizationally, financially, and accounting-wise separate from statutory activity. Failure to maintain this separation increases tax risks and may lead to the loss of exemptions. ATF NGO establishes rules for separating activities and indicates how to correctly account for costs, revenues, and VAT.

What does the proper accounting for subsidies and grants look like?

Grants require separate accounting and reporting records, in line with the financier's guidelines. ATF NGO maintains project-based accounting, prepares reports for institutions, monitors expenditure eligibility, and supports NGOs during audits and inspections.

Does a non-governmental organization have to pay VAT?

This depends on the nature of the business. An NGO can:

to use a subjective exemption,
be required to register as a VAT taxpayer,
to have the possibility of partial VAT deduction for EU projects.

ATF NGO analyzes the operational structure and helps determine correct tax obligations.

Which statutory duties require special attention?

The most important include: correct content of the statute, compliance of actions with the statute's provisions, correct resolutions of bodies, up-to-date entries in the National Court Register (KRS), and reporting to the relevant ministry. ATF NGO prepares statutes, amendments to statutes, resolutions, and corporate documents, and conducts full registration processes.

What is the liability of NGO board members?

Members of the management board bear civil, criminal, and tax liability for, among other things, public obligations, mismanagement of assets, or violations of the Accounting Act. ATF NGO analyzes risks, educates boards, and creates procedures to minimize the personal liability of officials.

What compliance procedures should a foundation or association have?

The most commonly required documents are: accounting policy, anti-corruption procedures, AML procedures (for business activities), conflict of interest management policies, document circulation instructions, and regulations for governing bodies. ATF NGO creates and implements a complete set of compliance documents.

How to start cooperating with ATF NGO?

It is best to contact us and indicate the area where support is needed – accounting, taxes, grants, statutes, compliance, or board liability. We will analyze the situation, propose the scope of cooperation, and take over the service so that the organization operates safely and transparently.