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Common Finance Mistakes

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Contents

Introduction

Contents & Introduction 2

Income 3

Expenditure 5

Invoicing 13

Other 17

Your notes 18

The Union Finance Department encounters many similar mistakes when dealing with Club, Society & Project financial matters. This booklet provides examples of the most frequent errors so that hopefully you can avoid these mistakes.

© Imperial College Union 2012Version 3.0 - 25 June 2012

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Correct Donation Letter

When income for a donation is received it must be accompanied by a letter to confirm it is a donation, otherwise VAT will be incurred This is a good example of letter confirming a donation.

Income

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Adding-up Cheques/Cash on Paying-in Slips

Make sure that the cheques and cash being paid into the bank are added-up correctly. This is an example of what happens if this is not done correctly:

Income cont...

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Correct VAT Invoice

This is a good example of a VAT invoice:

Expenditure

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Ensure Claim Form Totals are Correct & Obtain Proper VAT Receipts

Make sure to add the amounts correctly.

Expenditure cont...

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Expenditure cont...Receipts when making a claim

If an invoice is used to support a claim it must be stamped as being paid.

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Invoicing

Contracts

Make sure that sponsorship contracts are signed and that a signed copy is retained by the finance department.

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Invoicing cont...

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Invoicing cont...

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Invoicing cont...

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Other

Club, Society or Project Invoices

Invoices should only be issued from Imperial College Union. Clubs, Societies and Projects must not create and send their own invoices.

Imperial College UnionBeit QuadranglePrince Consort RoadLondon SW7 2BB

Tel: 020 7594 8060Fax: 020 7594 8065Email: union@imperial.ac.ukTwitter: @icunionimperialcollegeunion.org