If you are an Australian nonprofit, the list below is an overview of the steps you need to take to ensure a smooth process for sending out tax receipts to your donors.
Preparing to Send Australian Tax Summary
When it is time to send annual tax summaries to your donors, you can use Kindful's Tax Summary Tool for assistance in generating these.
Ensure that all contacts have enough information to be emailed or mailed tax summaries
Contacts must have a deliverable email address or physical address, otherwise they cannot be sent their tax receipts. Filtering on the fields “Email deliverable” or “Address deliverable” can help you know who can or cannot be sent tax summaries through those methods.
We recommend these filters to find contacts that need to have either of these options updated.
You can manage these fields from a contact's profile in the Preferences tab.
Reconcile contact duplicates
Every contact in your Kindful database that has a transaction in the previous fiscal year will be sent a tax receipt. So if there are multiple instances of the same contact, they can each be sent a summary. To avoid confusion for the donor, make sure you merge any duplicate contacts using our Duplicate Finder. You can also merge contacts from the Contacts page as you come across them.
Decide which letter template to use as a cover letter
If you would like to include a cover letter based on one of your templates, let your Care Team representative know which one it is that you would like to use so that it can be included with your tax summaries. You can create a new template or use an existing one found on the Communication > Templates page in Kindful.
Check that all contacts that have an email address are properly formatted
Email addresses that are not correctly formatted cannot be sent their summaries via email. Check that there aren’t multiple addresses in a single email address field on their Contact Profile. You can spot check this, but we recommended creating a report and do a Contact export to view all contacts and their corresponding email address values.
Set your organization to Australia via General Settings
Head to Settings > General Settings and be sure to set your organization default country to Australia in the Contact Info section.
Make sure your fiscal year aligns with the Australian tax year
To have your tax summaries reflect donations given within the previous tax year, which runs July 1 to June 30, and not the standard January 1 - December 31 calendar year, the fiscal year that you have set in Kindful will need to be the set accordingly. If it currently is not set like this, you can temporarily change your fiscal year so that tax summaries have the correct date range. Head to Settings > General Settings to make this adjustment.