The cost of non-compliance. Seventy charities face revocation
“Good governance is the backbone of Australia’s charity sector”
Yet as of last month, 70 Australian charities are now facing revocation due to failure to submit their Annual Information Statements. This looming loss of status not only jeopardises tax concessions but also undermines the trust they’ve built with their supporters and beneficiaries.
Non-compliance can lead to serious consequences, as these charities are experiencing firsthand. But what can organisations do to avoid falling into this trap?
1. Set Automated Reminders
Ensure that key dates for ACNC reporting are on your radar. Use digital tools like Google Calendar or project management apps to set automatic reminders months in advance to avoid last-minute panic. Automating reminders also helps distribute the responsibility among team members, allowing for accountability and backup in case of changes in staff or roles. By keeping compliance tasks on a structured timeline, you remove the stress of potentially missing a deadline and facing costly consequences.
2. Delegate Reporting Responsibilities
Assign a dedicated team member or volunteer to oversee compliance and ensure they have the support and resources needed to stay on track. Regular check-ins with this individual or team provide an opportunity to track progress and address any challenges before they become issues. Furthermore, having clear reporting channels and well-documented processes enables easier handovers in case of transitions or staff changes. Consider creating a compliance calendar that covers not just ACNC deadlines but all reporting requirements relevant to your charity.
3. Keep Contact Details Updated
Sometimes missed communication is the simple result of outdated contact information. Regularly update your charity’s details on the ACNC Charity Portal to ensure you receive important notices and reminders. Having accurate contact information ensures that your organisation remains responsive to any requests or alerts from the ACNC. It’s also good practice to include multiple contacts in the system, so that critical communications don’t go unnoticed in the case of a single point of failure, such as a staff departure.
“These charities may have changed their address and contact details or have closed and have not notified us. Despite repeated attempts, we have not been able to contact these charities to let them know that they have overdue Annual Information Statements.”
Charities at risk have until October 7th to catch up on their reporting. Now is the time to act, protect your charitable status, and safeguard your organisation’s reputation and funding.
