Sporting Clubs 2024 annual return update
The ATO has further updated their website to assist Not-for-profits (NFPs), including sporting clubs, prepare in advance of lodging their first online NFP self-review return for the 2023-24 income year.
The NFP self-review return will be available from the Online Services section of the ATO website from 1 July 2024. It will be due for lodgement between 1 July and 31 October 2024 for 30 June financial year balancers. For details of the previous update click here.
The ATO has released high level information regarding the questions that NFPs will be required to answer on the online NFP self-review return, which includes:
- Organisation details – including annual turnover
- Income tax self-assessment – organisations will need to choose a category (e.g. community service, sporting, etc.) that best reflects the main purpose of the organisation. The ATO has provided some high level instructions to help make this determination including highlighting:
- the appropriate clauses in governing documents that prohibit the distribution of income or assets to members.
- confirming that the organisation exists to operate and incur its expenditure entirely in Australia.
- Examples of the potential questions included on the return and additional information that the ATO will provide to support organisations to complete the questions.
Assuming answers indicate that an organisation is a tax exempt NFP, the ATO system will then generate a statement:
“Based on the information provided, the organisation has self-assessed as income tax exempt for this income year.”
A declaration is then required to be signed on behalf of the organisation. There is also the option to print a copy of the questions and answers to share with the board, committee or tax agent.
Get in touch with SW
We can assist in your preparation for the new online return. To discuss your broader eligibility for income tax exempt status, please contact our Tourism, Hospitality and Gaming (THG) industry experts and not for profit experts.