Budgeting for not-for-profit tax obligations

Budgeting for your organisation's tax obligations is the same as budgeting for any other expense. You need money aside.

On this page

• GST reporting
• Income tax
• Record keeping software
• Payments

The following suggestions can help you to budget for your not-for-profit (NFP) organisation's tax obligations.

GST reporting

Even if you are eligible to report your organisation's goods and services tax (GST) quarterly or annually, consider reporting monthly. Monthly tax periods may suit your organisation if it is likely to claim a GST refund regularly. For example, your organisation:

• has a large volume of exports compared with taxable sales
• is likely to be making large outlays for capital equipment.

You can claim GST credits sooner if your organisation has monthly tax periods.

Income tax

Estimate your organisation's income for the current financial year and its likely tax liability. Update your organisation's projection during the year as more information on sales and expenses becomes available.

Record keeping software

There are commercially available products to help you budget for your tax. To find commercially available software that will assist you to meet your tax obligations, visit our Product Register at softwaredevelopers/ato.gov.auExternal Link

Payments

If your NFP organisation is taxable, you need to know how to pay its tax or you want to make a voluntary or early payment to offset a future liability, see How to pay.