For Impact is HLB Mann Judd’s regular newsletter for the not-for-profit community.

In Issue 23 we address NFP governance updates, compliance, ACNC activities, financial reporting insights, fundraising and deductible gift recipients & audits.

A summary of the key points:

NFP Governance updates

Key points include:

  • Thoughts on paying NFP boards
    Chartered Accountants Australia and New Zealand has released Remunerating Not-for-profit Directors, which covers key factors NFPs should consider in determining whether those charged with governance should be paid.
  • Revised corporate principles take effect
    Revised ASX Corporate Governance Principles and Recommendations apply to entities admitted to the ASX official list and are effective for 31 December reporting periods.

Financial Reporting insights

Key points include:

  • ASIC focus areas for 31 December
    Under COVID-19 conditions, ASIC expects directors, preparers of financial reports and auditors to pay particular attention to asset values, provisions, solvency and going concern assessments, events occurring after year-end, disclosures in financial reports, and operating and financial reviews.
  • New SPFS disclosures take effect
    NFPs will need to make new disclosures about their compliance with recognition and measurement requirements in Australian Accounting Standards.

ACNC news

Key points include:

  • ACNC reports more than $195 million in revenue errors in 2018
    The Australian Charities and Not-for-profits Commission has disclosed errors in 2018 information statements and financial reports.
  • Bill proposes DGRs to be registered as charities
    Federal treasury is seeking submissions on the draft bill Treasury Laws Amendment (Measures 4 for a later sitting) Bill 2020: Requiring all DGRs to be registered charities.

Fundraising updates

Key points include:

  • FIA releases guidance on disaster fundraising
    The Fundraising Institute of Australia has produced a National Disaster Practice Note to assist its members in their fundraising.
  • Bushfire royal commission report released
    The royal commission into National Natural Disaster Arrangements has made 80 recommendations to improve Australia’s response to disasters.

Compliance updates

Key points include:

  • Casual workers’ overtime updated
    The Fair Work Commission has issued its final determination on overtime for casual workers in its four-yearly review of awards.
  • Whistleblower policy reminder
    A reminder to act if your policy is not yet up and running and made available to officers and employees.