Clubs minutes, July 2011

3. Non-profit self governance tool

Colin Lounder presented the non-profit self-governance tool to attendees and asked for feedback. A range of questions, discussions and feedback on the self-governance tool took place. Items requiring follow-up included:

• Don O'Brien suggested separating charities from other non-profit organisations on the ATO website as this may cause confusion.
• Lisa Evans thinks that if mutuality was in the self-governance tool that smaller less knowledgeable clubs may get confused.
• Lisa Evans suggested that many clubs may think they are not non-profit so wouldn't be signed up for the ATO news service. John McCallum advised that industry bodies, such as Clubs Australia, would be very happy to circulate the self-governance tool to the clubs sector, as a large number would not be signed up to the ATO news service to be aware of its existence.
• Lisa Evans had concerns with question F1 where an example is used to describe taxable non-profit organisations: 'sporting clubs mainly engaged in providing hospitality services to their members'. Geoff Greenslade and Mark Campbell agree, suggesting better wording could be used.
• With regards to question F3, there was agreement among several attendees that further examples need to be provided as it only mentions keno commissions at the moment.
• Pass on feedback from the Clubs Forum to the appropriate decision makers within the ATO that the numbering format used in the self governance checklist seems simple and appropriate.
• Have answers in the same order throughout the self-governance tool, eg: NIL / NO / YES.
• Colin Lounder advised that they will approach the Non-Profit Centre in the ATO come the time of publishing the self-governance tool, to ensure effective distribution.
• Jason Aitchison emphasised the self-governance checklist is intended to assist clubs to regularly self-assess their entitlement to endorsement for tax concessions.

Col Lounder agreed to consider each item raised.

Action item	4
Description	Keep note of offer by John McCallum that industry bodies such as Clubs Australia would be happy to circulate the self-governance tool to the clubs sector. After it is launched, follow this up with John McCallum.
Responsibility	Col Lounder / John McCallum
Due date	21 September 2011

Action item	5
Description	ATO to consider each suggestion for improving the non-profit self-governance tool raised (listed above).
Responsibility	Col Lounder
Due date	21 September 2011

Sections within Agenda items

• 1. Welcome, apologies and introductions
• 2. Endorsement of the minutes from the previous meeting 21 March 2011
• 3. Non-profit self governance tool
• 4. Non-profit reform
• 5. An overview of the role of the ATO following key budget announcements for the sector, and recent ATO views on charities - Draft Ruling 2011/D2
• 6. Better targeting of not-for-profit tax concessions - Treasury discussion paper
• 7. Recoupment of tax losses: How does the continuity test work for a corporation limited by guarantee with members?
• 8. PAYGW update
• 9. Around the traps