IFM12634 | Offshore Funds: Reporting funds: reporting obligations: provision of information to HMRC: annual reporting requirements

Regulation 106 of SI 2009/3001

IFM12434 provides an overview of the duties that offshore funds have once they have been approved as a reporting fund. One of those duties is that a reporting fund must provide the following to HMRC within six months of the end of each period of account -

(a) its audited accounts (see IFM12436 onwards);

(b) its computation of its reportable income for the period of account based on its audited accounts (see IFM12500 onwards);

(c) a copy of the report made available to UK investors for each reporting period falling within the period of account (including, for each reporting period, the information specified in regulation 92(1) - see IFM12624);

(d) the reported income of the fund for each reporting period falling within the period of account;

(e) the amount actually distributed to participants in respect of each reporting period falling within the period of account;

(f) the number of units in the fund in issue at the end of each reporting period falling within the period of account;

(g) the amount of the reported income per unit of interest in the fund in respect of each reporting period falling within the period of account;

(h) a declaration confirming that the fund has complied with the obligations specified in regulations 53 (contents of an application - see IFM12420) and 58 (general duties of reporting funds - see IFM12430).

The above information should be sent to HMRC’s Collective Investment Schemes Centre (CISC)

Unaudited accounts

HMRC will accept unaudited accounts for a period of account if they are satisfied that, in relation to that period:

• it would be unreasonable to provide audited accounts, and

• there is no reason to believe that the unaudited accounts cannot be relied upon for the purposes of calculating reportable income.

For example, this may be the case where a fund is in a period of winding up or liquidation.

Accounts not prepared in English

Where accounts have not been prepared in English, the fund is requested to provide HMRC with:

• the full set of audited accounts in the main language of the fund

• an English translation of the full set of financial statements incorporated within the accounts (for example statement of operations (at umbrella level and sub-fund level where presented separately), statement of changes to net assets, cash-flow statements etc.)

• an English translation of all notes to those financial statements that are relevant for the sub-funds which contain reporting classes (including any general accounting policy notes)

• an English translation of the manager’s reports and investment strategy commentary which provides a summary of activities of the relevant sub-funds during the period.

• a declaration that all information pertaining to the sub-funds with reporting share classes has been duly provided in English.