Q.What is 'Legacy' ?

A legacy is a donation received by a club or society as a bequest under the will of a deceased person. As it is a non-recurring, special receipt, it is usually capitalised and shown on the liabilities side of the Balance Sheet (added to the Capital Fund), not treated as income.

A Legacy is the amount of money or property that a not-for-profit organisation (such as a club, society or trust) receives under the will of a deceased person. Because such a receipt is non-recurring and of a special nature, it is normally treated as a capital receipt and added to the Capital Fund on the liabilities side of the Balance Sheet, rather than being credited to the Income and Expenditure Account. (If the amount …