Taxpayers should be aware that not-for-profit (NFP) organizations are legally required to keep certain records relating to their tax and superannuation obligations. All organizations, including NFPs, must maintain accurate and complete records of all relevant transactions.

For tax purposes, these records must be kept in an accessible form—either printed or electronic—for five years. Records that must be retained include:

      Governing documents;

      Financial reports;

      Tax invoices;

      Documentation relating to grants; and

      Registrations and certificates.

A good record-keeping system helps NFPs manage their operations effectively while meeting their tax and super obligations.

If an NFP is endorsed as a deductible gift recipient (DGR), it must also keep records explaining all transactions and other activities relevant to its DGR status. This applies to both endorsed DGRs and entities listed by name as DGRs.

Please contact us directly if you need any help with this.

(Source: Information extract from The NTAA's May 2025 Tax Advisers' Voice)