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Monday, 21 April 2008

REGISTRATION

 

WHY THE REGISTRATION OF NONPROFIT ORGANISATIONS?

 

Registration:-

  •           improve the credibility of the sector because nonprofit organisations can account to a public office.
  •           It bring organisations into a system.
  •           Improve on goverance, transparency and accountability within the NPO  sector.
  •           Allow for information about the sector to be gathered and made publicly avaliable.
  •           Is a requirement for most of  the funding agencies. 

 

 

 

WHICH ORGANISATIONS CAN APPLY? 

 

Any organisation that is not-for-profit and is not part of government can apply for registration. 

 

HOW DO ORGANISATIONS REGISTER?

 

Organisations applying for registration must:

 

  •           Fill in the registration form  i.e. Application for Registration by a Nonprofit Organisation
  •           Send this application form with two copies of your constitution to the Department.
  •           Provide any other additional information requested by the Directorate. 

 

 

 

 

PLEASE TAKE NOTE!

That the organisation will only to able to be registered if the constitution covers all the required clauses of section 12 of the NPO Act and application has being fill-in proper.    

 

WHAT HAPPENS AFTER ALL THE FORMS AND DOCUMENTS HAVE BEEN RECEIVED?

 

If all is in order then the organisation will be registered within two months of receiving all the correct documents. 
          •           The registration certificate and a certificated copy of the organisation’s  constitition will posted by registered mail to the postal address as given on the application form.  

WHAT HAPPENS IF THE APPLICATION IS REJECTED?

 

  •           The application will send back to you with advice on how to meet the requirements.
  •           The application will be given further attention on received and will be registered within two months after receiving the correct documents.   

 

 

CAN AN ORGANISATION APPEAL A DECISION?

 

An organisation can appeal against the decision.

 

HOW CAN A REGISTERED NPO MAINTAIN ITS REGISTRATION STATUS 

 

WHAT HAPPENS ONCE THE ORGANISATION IS REGISTERED?

 
  •           The organisation’s name and registration number is added to the list of Register of Nonprofit Organisations.
  •           The registration certificate and a certificated copy of the organisation’s constitition will be posted by registered mail to the postal address as given on the application form.
  •           The certificate of registration will have the following details:  

§   

            •    The NPO registration number.    
            • §  The date on which the organisation was registered.
 

 

 

 

 PLEASE TAKE NOTE!

Once the organisation is registered, the name and registration number of the organisation must be reflected on all the organisation’s documents.   

 

HOW LONG WILL THE ORGANISATION BE REGISTERED FOR?

 

The organisation will be registered until:
  •           Its registration is cancelled in terms of the NPO Act;
  •           The organisation itself voluntary de-registered.
  •           The organisation dissolves (close down).

 

 

 

 

 PLEASE TAKE NOTE!

that it is a criminal offence to operate under the false pretend of being a registered NPO.   

 

WHAT ACCOUNTING RECORDS AND REPORTS DOES A REGISTERED NPO NEED TO KEEP?

 

Once registered, the organisation must:
  •             Keep details and proper financial records;
  •            Within six months after the end of its financial year, it must draw up financial statements that show income and expenditure for that completed year, and a balance sheet showing its assets, liabilities and financial position;
  •           Two monts after completing its financial statement it has to produce a written report.
  •           Registered NPOs have to keep records of all their financial transactions over five years. 

 

 

 

WHAT REPORTS AND INFORMATION DO REGISTERED NPOS HAVE TO PROVIDE?

 

All registered NPOs have to give written copies of the following documents to the NPO Directorate:

  •           A report of the NPO activities together with the financial statements and the accounting officer’s report within nine (9) months after the end of the organisation’s financial year. 
  •           The names, physical business and residential addresses of all the office bearers of the organisations within one month if they changed and after they take up their positions;
  •           The NPO physical address and should be within South Africa;  
  •           One month notice before the organisation changes its physical address.  

 

WHAT IS AN ACCOUNTING OFFICER?

 

An Accounting Officer is defined as a person who should be a member of one of the following Accounting and Audition professions.   

  •           The Institute of Administration and Commerce of Southern Africa,   
  •           Accountants and Auditors registered in terms of the Public Accountants and Auditors' Act, 1951 (act 51 of 1951).
  •           The Chartered Institute of Management Accountants.   
  •           The Institute of Commercial and Financial Accountants of Southern Africa.   
  •           The South African Institute of Chartered Accountants 
  •           The Southern African Institute of Chartered Secretaries and Administrators.  
  •           The Chartered Association of Certified Accountants, The South African Institute for Business Accountants 

ONCE REGISTERED, CAN THE  NPO CHANGE ITS CONSTITUTION OR NAME?

 

Registered NPOs can change their constitution or name and when the organisation does this it must send to the Directorate:-
  •           A copy of the resolution and a certificate signed by a duly authorised office-bearer confirming that the resolution complies with its constitutions and all relevant laws;
  •           Where the NPO has resolved to change its name, the original of its current certificate of registration.

 

 

 

 

PLEASE TAKE NOTE!

in the event of a name change, a new registration certificate will be issued in the new name of the NPO. 

 

WHAT HAPPPENS IF THE REGISTERED NPO DO NOT COMPLY WITH THE REQUIREMENTS OF THE NPO ACT?

 

If a registered NPO fails to comply with the requirements of the NPO Act, the Directorate will:
  •           Notify the NPO of its non-compliance and give it one month to comply and the NPO must give written prove that it does comply, failure which:-   
          • §  The Directorate will ask the South African Police Service to investigate criminal charges  against the office bearers and others within the organisation;   
          • §          Cancel the registration of the NPO.

 

WHAT HAPPENED IF AN ORGANISATION WANTS TO DE-REGISTER OR CLOSE?

 

  •           If a registered NPO wants to deregister it must send the NPO Directorate written notice of this along with its reasons. The NPO still has to send the Directorate reporting documents up to the point at which it deregistered.
  •           If a registered NPO is going to close down, then it has to let the Directorate know, in writng, within one month after closing. It must also send the Directorate all the documents to prove that it has closed down, as well as reports up to the time when it did so.
  •           The Directorate will cancel the organisation’s certificate of registration and let the organisation know about this in writing.  

 WHAT ARE CRIMINAL OFFENCES UNDER THE NPO ACT?

 

It is an offence to:
  •           Claim to be registered with the Directorate when the organisation is not;
  •           Use another NPO registration number and details
  •           Give the Directorate false information about the affairs of your NPO 

 

 

 

 

 

PLEASE TAKE NOTE!

That people found guilty of such offences could end up being fined and/or imprisoned.