Charities – new regulation hits
Tuesday, 5 February 2013 | By Sam Hills
Involved with a charity? Take note of the new Australian Charities and Not-for-profits Commission Act 2012. It has taken over from the Corporations Act 2001 in regulating charities.
The new Act established the Australian Charities and Not-for-profits Commission, which started work in December 2012. It takes over from ASIC in overseeing charities and managing their reporting obligations.
Here’s what your charity needs to do:
- Register with the ACNC if you want to keep or get tax concessions. If you already get these concessions through the ATO, registration with the ACNC should happen automatically. The exception is where you are a religious organisation that previously self-assessed to become tax exempt.
- From 1 July 2013, complete an annual information statement.
- If you have a turnover of more than $250,000, lodge financial statements with the ACNC. Details are being finalised.
- Keep records about your operations and finances.
- Notify the ACNC about various changes – for example, changes to your constitution.
- Comply with minimum governance standards. There is currently public consultation about these.
The ACNC only regulates charities but could regulate “not-for-profits” in the future.
Sign up to email alerts from the ACNC to stay abreast of developments.
Authors: Melanie Sherrin & Sam Hills