Articles

What is a Charitable Trust?

When establishing a non-profit organisation, founders can choose from a large range of legal forms, including registering a charitable trust. Your organisation’s legal structure will determine the types of activities you can legally carry out and which law you will need to comply with. In this case, your organisation must follow the rules set out in the Charitable Trust Act. Find out more about other types of legal structures by reading our legal structure factsheet.

What is an Organisation formed by Royal Charter or by Special Act of Parliament?

Organisations formed by Royal Charter or by Special Act of Parliament are some of Australia’s oldest and largest non-profits. In the past, organisations formed by Royal Charter were administered by the Prime Minister’s Office, but it now “avoid[s] recommendation of such nonprofit forms.”1 New organisations adopting this structure are now rarely established. The status does, however, have historical significance. An organisation formed by a Special Act of Parliament, on the other hand, is a designation bestowed on entities making a significant contribution in their field, such as universities.

What are the different legal structures of non-profit organisations in Australia?

There are many different non-profit structures that organisations use in Australia. Among them are unincorporated associations, incorporated associations, companies limited by guarantee, cooperatives, charitable trusts, organisations formed by Royal Charter or by Special Act of Parliament, and Indigenous corporations. The Australian government uses not-for-profit and non-profit interchangeably to describe organisations and the sector, along with other terms such as voluntary organisations (VOs) and non-government organisations (NGOs). Third Sector non-profit organisations share similar characteristics: they are non-governmental, they are value-driven rather than profit-driven, and they reinvest financial surpluses to further their objectives.

What is the difference between a charity and not for profit organisation?

In Australia, there is a clear difference between a charity and not for profit organisation. To be legally recognised as a charity, an organisation must meet a strict set of requirements and be endorsed by both the Australian Charities and Not-for-profits Commission and the Australian Taxation Office. Despite its liberal colloquial use, the term “charity” actually has a very specific meaning in Australian law. Only some types of organisations are recognised as charities and qualify for charitable tax exemption status.

Cyber Security 1.0.1 For Boards

The traditional concept of IT Disaster Recovery (DR), i.e. the solution where an organisation sets up an alternate site where servers, applications and data can be used in case the primary data centre burns down, floods, loses power or otherwise fails, needs to be re-thought completely due to two major developments. The first one is Cloud computing, resulting in the IT DR responsibility seemingly being transferred to the shoulders of an external supplier.

Integrated Leadership – Solving complex problems with the power of many

How to solve complex problems with integrated leadership teams that harness the power of many. The world is an increasingly complex place to navigate, especially in the stakeholder heavy NFP space. But that is your job. Our leaders are busier than they have ever been. The problems they face require people with diverse skill sets and perspectives to work together to solve. Talent alone is not enough. There is a lot of noise (especially in the NFP sector) about ‘diversity’.

What is an Unincorporated Association?

Although an unincorporated association does not have the same economic significance as larger non-profit organisations, its great number and presence in many communities across the country attest to the robust nature of choosing it as a legal structure. In a 2021 report, Volunteering Australia found that there are nearly 6 million people who volunteer through an organisation every year. The most popular activities for volunteering are sports and physical recreation, religious organisations, and education and training.

What is Deductible Gift Recipient (DGR) Status?

Deductible gift recipient (DGR) status carries with it certain legal responsibilities and only certain types of entities qualify. As with organisations registered as a charity, a deductible gift recipient or DGR receives a special legal status that can only be assigned and endorsed by the Australian Taxation Office (ATO). These entities must conduct their activities under specific categories. What is a Deductible Gift Recipient (DGR) Status? Entities that are endorsed as a deductible gift recipient (DGR) can receive income tax deductible donations.

The Intersection of Risk, Culture and Crisis and at What Price

Much is said and written about personal, brand and company reputations, but when all is said and done reputation rests on three pillars: context, stakeholders, and culture. Context because what happens around a business from a government, social, environment and economic perspective dictates the level of risk associated with your operations and your business decisions. What was right or acceptable 20 years ago may not be right today. What is right according to the letter of the law may not be perceived as right by the society in which you operate.

What is an Indigenous Corporation?

When establishing a non-profit organisation specialising in providing programs or services to Aboriginal and Torres Strait groups, founding an Indigenous Corporation is a great option. An Indigenous Corporation is a specific type of organisational legal structure that can be used in Australia. Indigenous Corporations are overseen by the Office of the Registrar of Indigenous Corporations (ORIC), an independent statutory office appointed by the Minister for Indigenous Affairs under the Corporations (Aboriginal and Torres Strait Islander) Act 2006.