Endorsement is the approval process some non-profit organisations must follow if they want to access tax concessions.
There are three main types of organisations that must be endorsed:
Registered charities need to be endorsed to receive charity concessions for income tax, GST or fringe benefits tax, while funds that are not charities can apply for endorsement as income tax exempt funds.
A deductible gift recipient (DGR) is an organisation that can receive income tax deductible gifts and tax deductible contributions.
If your non-profit organisation wants to receive income tax deductible gifts or contributions, and it is not named as a DGR in the income tax law, your organisation needs to be endorsed as a deductible gift recipient.
If your non-profit organisation doesn’t fit into any of the above categories, you can self-assess your organisation's entitlement to concessions.
Certain types of clubs, societies and associations can access one or more of the following tax concessions:
- income tax exemption
- GST concessions
- FBT concessions.
Once your organisation is endorsed, its endorsement details are recorded on the Australian Business Register (ABR). This information is publicly available on the register website at www.abn.business.gov.au
For organisations that need to be endorsed, it’s important to remember that endorsement is not permanent – it needs to be regularly reviewed. Organisations must notify us in writing if they’re no longer entitled to be endorsed.
Last Modified: Tuesday, 4 December 2012