What reporting does a NPO and PBO need to submit, when, where?
Once an organisation is registered as an NPO, it is required in terms of Section 18 and 19 of the Act to submit annual reports comprising a narrative report, an annual financial statements and an accounting officer’s report to the NPO Directorate. It is very important to note that these must be submitted within nine months after the end of its financial year Reporting should include any changes to the organisation’s constitution, physical address and office bearers.
A thirty days’ notice will be served to all registered NPOs whose reports are overdue. Organisations that fail to comply with this notice risk having their registration status cancelled in terms of Section 21 of the Act. Once deregistered, it is a criminal act to represent the organisation as a registered organisation.
Approved PBOs are required to submit annual income tax returns to the SARS Commissioner. The Commissioner must also be informed of any changes to the service delivery address (and address for delivery of notices from the Commissioner, if this is different) of the PBO.
If you are registered under S18A and issue receipts to your donors, these receipts must contain the following:
- organisation’s reference number, as issued by the Commissioner for the purposes of S18A
- date of the receipt of the donation
- name and address of the organisation
- name and address of the donor
- amount of the donation
- nature of the donation (if not made in cash)
- a certification statement confirming that the receipt is issued in terms of Section 18A of the Act, and that the donation has been / or will be used exclusively for the purpose of carrying out the objectives of the organisation, which must be for public benefit.