1,400 ACNC Charities face deregistration and loss of tax concessions

The ACNC have announced that up to 1,400 ACNC registered charities face deregistration unless they lodge their Annual Information Statement (AIS) by 30 March 2015. Each of these charities has failed to lodge their AIS for 2 consecutive years.  If deregistered, they will no longer be eligible for charity tax concessions including income tax, fringe benefit tax and GST.

Most ACNC registered charities must lodge an AIS every reporting period. Generally, the reporting period for your charity is the financial year from 1 July to 30 June and your AIS is due within six months of the end of your reporting period – that is by 31 January. If you wish to use a different reporting period, you must apply to the ACNC.

The AIS form will ask you a series of questions about your charity including:

• What were the activities your charity undertook during the reporting period?
   
• How did these activities achieve the charitable purpose of the charity?
   
• Will the charity be changing the way it pursues its charitable purpose next reporting period?

 Depending on whether your charity is classified as a small, medium or large charity you will need to lodge your financial report with your AIS.

 If you have any questions about your charity’s reporting obligations please contact:

 Melanie Twomey
Senior Associate
Harwood Andrews
T: 03 5225 5238
E: mtwomey@harwoodandrews.com.au

Ashleigh Wall
Senior Associate
Harwood Andrews
T: 03 5226 8559
E: awall@harwoodandrews.com.au