Guide to Registering a Charity

This guide will provide you with an overview of the key aspects involved in registering a charity.

Charities are designed as organisations which:

  • Operate on a not-for-profit basis;
  • Are set up exclusively for charitable purposes; and
  • Carry out activities to achieve these purposes which benefit the public.

For an organization to be registered as a charity, they must either be recognized as a Society, Company Limited by Guarantee, or a Charitable Trust.

Charities can also be recognised as Institutions of a Public Character (IPCs) by the Commissioner of Charities. Organizations looking to apply for IPC status must be a registered charity or an exempt charity or other charity that is not required to be registered by virtue of section 5(4) of the Charities Act. This status would allow them toissue tax deductible receipts for qualifying donations to donors. In other words, donors can claim tax relief from their assessable income based on the amount donated, at the prevailing deduction rate of 250%.

*Grantmakers are identified as non-profit entities such as private foundations, community foundations, and businesses’ giving programs that only give out grant monies to specific charitable causes

All materials have been prepared for general information purposes only. The information presented in this document is not legal advice, is not to be acted on as such, may not be current and is subject to change without notice. Professional advisory should be sought before taking or refraining from any action as a result of the contents of this document.