Government pushes critical DGR requirements
14 November 2022 at 1:54 pm
Organisations must meet certain criteria, or apply for an extension, before the end of the year to receive crucial DGR status.
Non-government organisations need to register as a charity with the Australian Charities and Not-for-profits Commission (ACNC) before 14 December 2022 to keep deductible gift recipient (DGR) entitlements.
The Australian government issued a reminder for the requirement last week, advising that “time is running out to avoid losing deductible gift recipient status”, which allows organisations to receive donations that are tax deductible.
See more: DGR status could safeguard vulnerable news sector
The requirement for DGR endorsement is that a fund, authority or institution must be one of the following:
- a registered charity, or
- an Australian government agency, or
- operated by a registered charity or an Australian government agency.
Ancillary funds and DGRs specifically listed by name in tax law are exempt from this requirement.
Non-government organisations that qualify for DGR status but cannot meet the deadline can apply for a three-year extension, which must also be submitted before 14 December 2022 to be considered. This includes organisations that have in-progress applications for ACNC charity registration.
See more: ACNC annual report shows volatile year for charities
Organisations can apply online to register as a charity with the ACNC, and also check eligibility requirements and ongoing obligations.
