Applying for charity status
Both types of non-profit organisations including societies and a public companies limited by guarantee can apply to become a charitable organisation. When reviewing the application for charity status, the Commissioner of Charities will assess whether the objectives and by-laws of the organisation are acceptable for it to be a charitable organisation.
A charitable organisation will be subject to additional reporting requirements in line with the Singapore Charities Act, Cap 37. Notwithstanding that, the benefits of being a registered charitable organisation include:-
- The entity will enjoy automatic tax exemption.
- It gives a better standing and credibility to the organisation.
- It will be easier to facilitate fund raising activities.
Charitable purposes can be classified into 4 main categories:
- the relief of poverty
- the advancement of education
- the advancement of religion
- other purposes beneficial to the community with the following purposes explicitly recognised as charitable:
- the advancement of health;
- the advancement of citizenship or community development;
- the advancement of arts, heritage or science;
- the advancement of environmental protection or improvement;
- the relief of those in need by reason of youth, age, ill-health, disability, financial hardship or other disadvantages and
- the advancement of animal welfare.