New NSW Associations Laws to Commence on 1 September 2016

Important amendments to the Associations Incorporation Act 2009 (NSW) and the Associations Incorporation Regulation 2016 (NSW) will commence on 1 September 2016.

These amendments will affect both existing Associations and the registration process for new Associations in NSW.

The following summary highlights the key changes:

Following two years of speculation regarding the future of the charity regulator, earlier today the Minister for Social Services, Christian Porter confirmed that the Federal Government has decided to keep the Australian Charities and Not-for Profits Commission (ACNC).

The Liberal Government was elected on a platform to abolish the ACNC and a Bill

In a further step to provide a user-friendly and reliable source of data for the community, last week the Australian Business Register (ABR) and Australian Charities and Not for Profits Commission (ACNC) entered into a Memorandum of Understanding (MOU) to facilitate data sharing between the two agencies.

Occasionally, there are data discrepancies between the two

Future of the ACNC slowly becomes more certain

Earlier this month, the (then) Minister for Social Services Scott Morrison stated that “there is very strong support for the Australian Charities and Not-for-profits Commission (ACNC) and I don’t believe there would be any support in the Senate for there to be any change.” Many in the

On 2 March 2012, we reported that new laws had been introduced regarding the way public ancillary funds are structured, operated and wound up.

What is a Public Ancillary Fund?

A Public Ancillary Fund is a type of fund that is entitled to deductible gift recipient (DGR) status and provides a link between

The ACNC’s Future Becoming More Certain

Barely 7 weeks into his new role Minister for Social Services, Scott Morrison declared on Friday that scrapping the Australian Charities and Not-for-profits Commission (ACNC) is not a priority in his new portfolio.

His statement to Fairfax Media demonstrates a clear and decisive policy shift away from

The NSW Government has amended the Education Act to strengthen the not-for-profit requirements for non-Government schools.  The rules have got tougher and non-compliance could result in a loss of funding.

What organisations does this affect? 

These changes affect all non-Government schools in New South Wales in receipt of funding from the NSW Government.

What other changes

Those in the sector will be familiar with the provisions of section 21A of the Education Act which provided that NSW Government funding would not be available to schools that operated for profit.  Section 21A(3) detailed what payments by a non-Government school would not affect its “non-profit” status.


Continue Reading NSW School Funding: Changes to Not-For-Profit Requirements

The ATO has released the Draft Special Conditions Ruling TR 2014/D5 – Income Tax: special conditions for various entities whose ordinary and statutory income is exempt

In August the ATO released draft ruling TR 2014/D5 regarding the proposed application of special conditions inserted by the Tax Laws Amendment (2013 Measures No. 2) Act 2013.
The special conditions require that:
  • An entity must comply with all the substantive requirements in its governing rules (Governing Rules Condition); and
  • An entity must apply its income and assets solely for the purpose for which the entity is established (Income and Assets Condition).

What organisations or entities does the ruling apply to?

The ruling applies to a number of income tax exempt entities (but not all) which are listed at Section 50 of the Income Tax Assessment Act 1997 (ITAA).


Continue Reading ATO releases Draft Special Conditions TR2014/D5


The Future of the ACNC Remains Uncertain

On 16 June 2014 the Senate Committee delivered a divided report on the Australian Charities and Not-for-profit Commission (Repeal) (No 1) Bill 2014 (No 1 Bill).

No 1 Bill

Unsurprisingly, the Liberal Senators supported the abolition of the ACNC, however, the Labor and Greens Senators offered dissenting reports appealing for the ACNC to continue. The dissenting reports noted that the ACNC is preferable to returning to the previous regime of regulation by the ATO and ASIC.

The No 1 Bill was introduced into the House of Representatives on 19 March and now will return to the House of Representatives where it is likely to be passed by the lower house. Part 1 of the Bill contains the necessary provisions to repeal the ACNC and Part 2 provides for transitional arrangements, importantly, allowing for the Minister to specify a successor agency.

If passed, the Bill won’t come into operation until the Australian Charities and Not-for-Profits Commission (Repeal) Bill (No 2) (which has not yet been introduced) is successfully passed.


Continue Reading The Future of the ACNC Remains Uncertain