Assistance with gaining DGR status
Posted: Tuesday, July 26, 2011 - 11:33
Organisation: Small change for life
Location: Melbourne (Melbourne)
Contact name: Vaughn Guillot
Contact telephone: 0403 800 323
Most people like the idea of helping children and families that are poverty stricken providing is doesn’t impact too significantly on their own pocket. With a monthly commitment of $43 to world vision or the like, some families & individuals find this is just too much for their budget.
What if you could sponsor a child for just $1 per month?
It's called Small Change for Life- www.smallchangeforlife.org
Small Change for Life is a portal designed to bring individuals together and pool their donations into a sizable amount that is useful to each applicable charity. We forward 100% of all donations onto the chosen charity.
We look for top performing charities based on how much of each donation reaches its intended cause. We then use their required monthly commitment in dollars to work out how many individual sponsors will be needed.
Sponsorship occurs once we have the required number of sponsors committed to the cause.
Example: World Vision
1 individual pays $43 per month = 1 child sponsored
At “Small change for life” 43 individuals pay just $1 per month = 1 child sponsored
I decided to get this thing off the ground lets just get 1 child sponsored then aim for 10, then 100 so on and so on. So I opened a bank account got the web page started (found a volunteer) and was about to start taking donations and was told by an accountant that I would have to pay tax on each donation unless the charity was registered with the tax office as a DGR - deductible gift recipient fair enough can't be that hard I thought. The tax office sent me a not for profit pack but cannot advise or recommend anyone to help.
This is where it gets hard I have to set up company limited by guarantee $1200 - $1500, I need a solicitor experienced in writing a constitution specifically for a charity $1500 - $2500 and then annually need to be audited by a specially registered accountant $1200 all this just to take donations and pass it on.
I'm hoping that you or one the people you work with may know one of the specialists mentioned above that would do it probono, or have an idea on how to get around the paying tax issue.
Please help, as I know this will make a difference.








