The ACNC has provided a response to the recently closed consultation on how charities are required to report their related party transactions.
According to their recent release, reportable related party transactions include:
- fees paid to a related party for providing goods or services to the charity
- loans from or to a related party
- salary or wages paid to a related party’s relative
- transfer of charity property or assets to a related party
- charity goods or services provided at a discount to a related party
- significant use of charity property by a related party
- investment in a related party.
ACNC guidance on these transactions has now been updated and can be found HERE.
Their full release can be read on their website, which includes a template for a suitable register available to download.