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

In Issue 24 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:

  • Royal Commission report calls for reform of the aged-care system
    The final report of the Royal Commission into Aged Care Quality and Safety Care, Dignity and Respect has called for fundamental reform of the aged-care system.
  • Prudential-regulation and financial-oversight recommendations
    A closer look into the latest prudential-regulation and financial-oversight recommendations.

Financial Reporting insights

Key points include:

  • Financial reporting thresholds for ACNC charities to increase
    The Council on Federal Financial Relations has asked that a framework for increasing harmonised financial reporting thresholds for charities registered with the ACNC be announced by 30 June 2021.
  • Charities filing incomplete financial reports
    The ACNCs annual review of almost 300 medium and large charities’ financial reports has revealed that almost a third of them were incomplete.

ACNC news

Key points include:

  • ACNC releases best-practice disclosures guide
    The ACNC has published a new best-practice guide for charities reporting on government revenue they receive.
  • Charity-activity bans to broaden 
    Changes to the ACNC’s governance standard 3 will expand banned activities for registered charities.

Fraud & Ethics updates

Key points include:

  • Steps towards minimising fraud released
    The Institute of Internal Auditors-Australia has released 11 steps towards minimising fraud and corruption risks.
  • New guidance on whistleblowing released
    The Accounting Professional & Ethical Standards Board has released new guidance to support accountants dealing with whistleblowing and related
    confidentiality concerns.

Compliance updates

Key points include:

  • ASIC adopts 'no-action position'
    The Australian Securities & Investments Commission has temporarily adopted a ‘no-action’ position on convening and holding virtual meetings.
  • AAT upholds ACNC ruling
    An Administrative Appeals Tribunal decision has endorsed the ACNC’s approach to determining charities’ eligibility for registration as public benevolent institutions.