During this complimentary live chat, expert panellists from the ACNC addressed questions about charity reporting obligations.
Updated 3 December 2015
From 2014, all charities registered with the Australian Charities and Not-for-profits Commission (ACNC) have certain reporting obligations. Those reporting obligations can vary depending on the charity's size and type. Transitional provisions are also available to some charities.
Generally, small charities (annual revenue <$250k) are required to lodge an Annual Information Statement (AIS) with the ACNC, while medium (annual revenue $250k-$1m) and large (annual revenue >$1m) charities are required to prepare and lodge annual financial reports in addition to an AIS.
In July 2015, the ACNC released a report Lessons on reporting to the Australian Charities and Not-for-profits Commission. The report aims to explain some of the material issues/errors identified in financial reports and AIS lodged with the ACNC.
The focus areas of the report include the following:
- Correct size classification
- Annual financial report and Annual Information Statement financial information and report type
- Annual financial report references to Australian Charities and Not-for-profits Commission Act 2012 (ACNC Act)
- Audit/review report and responsible entity declaration attached and signed
- Compliance with the minimum accounting standards required under the Australian Charities and Not-for-profits Commission Regulation 2013 (ACNC Regulations)
- Compliance with related party disclosures required for general purpose financial reports
- Transitional provisions application and appropriateness.
During a complimentary live chat, held in November 2015, expert panellists from the ACNC addressed audience questions about a charity’s obligations to prepare and lodge a financial report and AIS with the ACNC. They also highlighted some of the more commonly identified issues and errors identified in AIS and financial reports lodged with the ACNC, and what charities should do to avoid such issues and errors.
Questions were addressed by ACNC experts:
- Kerry Hicks, Technical Consultant, Australian Charities and Not-for-profits Commission
- Mark Dowling, Senior Accountant, Australian Charities and Not-for-profits Commission