Deductible Gift Recipient (DGR) Fund Policy (Draft)
Jan, 2020
Purpose
- The purpose of the ACAS DGR fund is to support the programs of the ACAS Registered Training Organisation (RTO).
- The purpose of this policy is to ensure documentation of disbursements that would pass an audit by the Australian Taxation Office (ATO).
Policy
- Auspicees of the ACAS RTO may use the DGR Fund if they:
- currently comply with all terms of their authorisations as auspicees,
- currently comply with relevant Australian training sector standards,
- have no outstanding debts to ACAS, and
- have funds (already or prospective) donated to the DGR Fund that are designated for the use of the auspicee.
- The DGR Fund may only be used for costs directly incurred in providing ACAS Nationally Recognised Training.
- ACAS retains the right to determine how DGR funds are to be used.
- To be eligible for a disbursement of funds, the auspicee must submit a proposal to ACAS specifying:
- agreement to comply with this policy,
- the nature and purpose of proposed expenditure,
- a timeframe for expenditures, which may not exceed one year in total,
- which expenditures will be eligible for Goods and Services Tax (GST) refunds and which are not.
- Auspicees may make up to one amendment to a proposal.
- Disbursements will not exceed the amount of donated funds that are designated for the use of the auspicee.
- ACAS shall issue tax deductible receipts to donors.
- At least every three months while the auspicee is implementing the proposal, the auspicee shall submit tax invoices* from that period.
- After funds have been expended, the auspicee shall submit an acquittal statement to ACAS certifying that funds were spent according to the proposal, itemizing expenditures compared to the proposal, and enclosing all remaining tax invoices.
- Only ACAS may apply to the ATO for GST refunds for expenditures from the DGR Fund. Auspicees may not do so.
- When an expenditure is not eligible for a GST refund, ACAS shall take five per centum (5%) of that amount from the allocation to the auspicee before sending to the auspicee.
- If funds are not used according to the purpose of the DGR Fund, the auspicee must return them to the DGR Fund immediately upon the request of ACAS.
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*"Tax invoices" refers to expenditures that derive from the ACAS DGR fund.