‘Double defaulter’ charities risk losing charity status

Almost 200 charities are at risk of losing their registration with the Australian Charities and Not-for-profits Commission (ACNC) for twice failing to submit their Annual Information Statements.
The ACNC Commissioner, Susan Pascoe, warned that these charities risked losing access to generous Commonwealth charity tax concessions if they failed to report by 12 September.
“Each year registered charities are required to submit an Annual Information Statement to the ACNC,” Commissioner Pascoe said.
“This is one of the ongoing obligations charities must meet to maintain their registration as a charity, which is a prerequisite to obtaining Commonwealth charity tax concessions.
“Failing to submit two Annual Information Statements is grounds for revocation of charity status.”
Commissioner Pascoe said that each year, the vast majority of charities meet their obligations and submit the Annual Information Statement.
“Close to 100% of all registered charities have submitted their 2015 and 2016 Annual Information Statement,” Pascoe said.
“However, this at-risk group of 200 charities not only failed to submit an Annual Information Statement for 2014 or 2015, they are now overdue in submitting their 2016 statement.
“Many of the charities at risk are small religious organisations, as well as parents and citizens associations.”
Pascoe explained that the information charities provide to the ACNC in the Annual Information Statement helps builds the public’s trust and confidence in the sector.
“Not only is it a legislative requirement to submit an Annual Information Statement each year, it is also a way for registered charities to demonstrate their commitment to transparency and accountability,” Pascoe said.
“The information charities provide in the Annual Information Statement, including annual financial statements for larger charities, is made available to the public on the Charity Register.
“The ACNC’s Charity Register has been searched nearly 2 million times over the past five years, allowing members of the public to make informed decisions about donating, volunteering or issuing a grant.”