Cultural institutions - Mazars - Netherlands

Knowing what is going on within the sector

The cultural sector as a whole has undergone considerable professionalization in recent years, focusing primarily on the issue of accountability reporting by cultural institutions. This has, in part, led to the commercialisation of the sector. The following key concepts are important in this respect:

• Quality of management and supervision (cultural governance)
• Transparency in reporting
• Performance rating
• Risk management

In addition to the social trend of transparency in reporting, the demands made by subsidy providers with respect to reporting are constantly changing and increasingly higher. For the past few years, the Ministry of Education, Culture and Science (OCW) has required not only a financial report, but also a report on whether the pre-agreed performance goals have actually been achieved.

Cultural governance is defined as good, responsible and transparent management and supervision in the cultural sector. The professionalization and commercialisation of the sector have made it important to give thought to the quality of management and supervision. Cultural governance thus fits with the social trend of drawing a clear distinction between the tasks and powers of board and management. The tool for doing so is naturally the Cultural Governance Code (www.culturalgovernance.nl).

This code has enabled many foundations to reconsider their model of governance and cultural institutions to become more and more aware of the risks they run and how these can be kept to a minimum.

Pooling top-quality knowledge

Specialist knowledge of the sector is essential for providing optimal service to clients within the sector. At Mazars, we have pooled our practical knowledge of various disciplines (i.e. accountants, tax advisers and legal experts) in the culture sector. Our professionals have broad experience in the sector and are constantly updating their knowledge relating to it. Requested or unrequested, we inform and advise our clients regarding current developments in the sector.

The expertise of the multidisciplinary sector

...covers such areas as:

• Auditing and reporting. Mazars has broad experience with respect to auditing various cultural institutions (e.g. museums and other cultural heritage, art, festivals and sector institutes, etc.). Naturally, we possess a thorough knowledge of specific aspects of the Guidelines for Annual Reporting (Richtlijnen voor de Jaarverslaggeving) and OCW regulations. In addition, we can advise and support you with respect to the complex requirements in the area of reporting. We also have experience with respect to accountability reporting.
  
• Governance and internal control procedures. Good governance and transparency are very important aspects at cultural institutions. Mazars can advise you on issues such as the Cultural Governance Code and its impact on your organisation.
  
• Donations and public benefit organisation (ANBI) status. Mazars has a specialised Estate Planning department, headed by Professor Frans Sonneveldt . This department can advise you and your donors (from, for instance, a Friend’s foundation) on the best course of action in the area of donation and succession legislation. Our professionals also possess thorough knowledge on the legislation pertaining to public benefit organisations (ANBI).
  
• Other taw laws. Mazars can assist you in optimising the fiscal position of your organisation. VAT : whether or not the services are subject to VAT, VAT aspects with respect to sponsorship and subsidies. Wage tax and social benefits : volunteer reimbursements.
  
• IT. The various processes within a Cultural Institution often rely on IT. Mazars Management Consultants can assist you with respect to general as well as specific IT issues, such as project administration, object registration, etc.