As advised in Issue 1: Governance, during the course of advising charities and not-for-profit (NFP) organisations over many years, we have noticed some common issues that are important to our clients. Over the next few months, we will continue to run a series of short summaries of those legal issues that every charity and not-for-profit organisation should consider. This… Continue Reading
Federal Parliament has recently passed legislation that allows tax deductibility for donations to a new education charity called Australian Schools Plus. For the first time, this will allow donors to receive a DGR receipt for donations for general educational purposes to particular schools. What are the Opportunities for Deductible Gift Donations for Schooling? Up until… Continue Reading
Starting a Not-For-Profit or Charitable Organisation Are you thinking about starting an organisation, charity, club, association, social enterprise, co-operative or some other kind of not-for-profit group? If so, this information may be helpful. What’s the Difference between a Charity and a Not-For-Profit?
Summary – The Federal budget which was delivered on 14 May 2013 contained the following announcements that relate particularly to charities and not-for-profit organisations: Not-for-profit sector reforms — introducing a statutory definition of ‘charity’ Statutory definition of charity Revenue ($m) 2012/2013 2013/2014 2014/2015 2015/2016 2016/2017 Australian Taxation Office – * * * * The Federal budget… Continue Reading
Summary – The Assistant Treasurer has issued a further Exposure Draft on proposed legislation restating and standardizing special conditions for tax concession charities including the “In Australia” conditions. The Assistant Treasurer has now released a further Exposure Draft of legislation restating and standardising special conditions for tax concession entities and, in particular, refining the “In… Continue Reading
Summary New laws introduced on 1 January 2012 change the way public ancillary funds are structured, operated and wound up. On 1 January 2012, new laws governing the definition and operation of public ancillary funds came into force. The definition is now the cornerstone for organisations seeking to have their ancillary fund endorsed by the Australian Taxation Office… Continue Reading
The Government has just announced the delay of the commencement of the ACNC and the setting up of a working group to work through major tax reforms for the Not-For-Profits sector. The Assistant Treasurer announced on 1 March 2012 that the ACNC will not commence operation until 1 October 2012. The Assistant Treasurer and Minister… Continue Reading
Many have an opinion about which charitable causes are more worthy of government support than others. However, the Australian Tax Office (ATO) has issued definite guidelines about which charities qualify as Public Benevolent Institutions (PBIs) and “deductible gift recipients” (DGRs) and can therefore grant tax deductible receipts to their donors. This is a critical endorsement for… Continue Reading