UPDATE: 1 February 2010

Please note that we have added another name to the list of charity lawyers

Previously we wrote: Last week our update, URGENT and IMPORTANT: Your PBI status at risk, alerted Jobs Australia members who had received a letter from the ATO about their PBI status of the need to act immediately. 

As promised, we have asked our lawyer, Greg Banks, to provide members with some further advice and support. 

DOCUMENTS

Greg has prepared the following documents which are attached below for your assistance:

• A draft letter of instruction to your professional advisor;
• A draft list of documents to be provided to the professional advisor; and
• A list of lawyers with expertise in this area.

These documents are provided to kick start your thinking. They will need to be tailored to suit the circumstances of your organisation. 

ONLINE RESOURCES

As you are already aware, the ATO website has numerous resources for our sector. The following links should be helpful to you or your professional advisor:

•  DGR GiftPack: http://www.ato.gov.au/content/downloads/SME18699nat3132.pdf
• (Website version: http://www.ato.gov.au/nonprofit/content.asp?doc=/content/26553.htm&page=2&H2)
• Taxation Ruling TR 2003/5: http://law.ato.gov.au/pdf/pbr/tr2003-005.pdf
• (Website version: http://law.ato.gov.au/atolaw/view.htm?docid=TXR/TR20035/NAT/ATO/00001)
• 'Is your organisation a PBI?': http://www.ato.gov.au/nonprofit/content.asp?doc=/content/26553.htm&page=1&H1
• Gift Fund Requirements: http://www.ato.gov.au/content/downloads/NPC_00013269_n3194.pdf
• (Website version: http://www.ato.gov.au/nonprofit/content.asp?doc=/content/34490.htm&pc=001/004/047/007/003&mnu=44334&mfp=001/004&st=&cy=1)

Q9 OF THE QUESTIONNAIRE

With regard to the questionnaire, Greg has said that the most important answer is likely to be to Question 9. This is where you have the opportunity to explain how and why you’re a PBI. It should be a full answer - not a few paragraphs.

Greg estimates that most answers to Question 9 will comprise pages with attachments.  Remember that it is quite possible that for most organizations the only data that the ATO has will be the endorsement application and what it can see on your website. If your website does not reflect your activities and values, and fails to emphasize your commitment to assisting people living in circumstances that are likely to arouse pity and compassion within the community, then it is time to change your website and correct any inaccurate impression.

Any queries concerning this matter should be directed to David Thompson at thommo@ja.com.au