By Al Qalam Correspondent
With an estimated 50% of South Africa’s registered charitable bodies/NGO’s failing to meet current legislation and governance standards, the Association of Muslim Accountants and Lawyers (AMAL) has launched a comprehensive guide designed to bring them in line with the law.
The guide, described as a vital reference tool for charitable bodies, is the culmination of intensive work initiated by AMAL, in conjunction with three strategic partner organisations, the United Ulama Council South Africa, AWQAF SA and the South African Zakah Fund.
The new guide for Non-profit Organisations and Public Benefit Organisations focuses on tax, legal and internal control compliance.
Addressing a recent stakeholder engagement webinar event geared to introducing the guide, AMAL Secretary, Imraan Subrathie, said: “Given the high degree of non-compliance with governing legislation amongst non-profit organisations in this country, we recognised a need to conceptualise, develop and initiate a formalised guideline capable of becoming a ‘go-to’ reference document for such bodies.”
He added: “The guideline document we have produced aims to empower representatives of non-profit organisations to achieve self-sufficiency through their formulation of effective codes of governance and the implementation of guiding principles with regard to the attainment of all aspects of legislative compliance.”
Its implementation unlocks a critical delivery tool in directing non-profit organisations towards adherence to good governance and spells-out practical solutions relating to both tax and legal compliance issues for the direct advantage of such bodies.
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In acknowledging those who had made the guideline project possible, Subrathie said: “I must commend AMAL’s past Secretary, Mr AC Khan, for his initiation of this important process several years ago, together with AMAL members and Chartered Accountants, Naeem Asvat and Ridhwaan Khan, both of whom played leading roles in, and made key contributions to, the preparation of the guideline document.”
He stressed: “The primary benefit of adopting these guidelines is to afford this country’s broad donor population the peace-of-mind that the organisations they seek to support are compliant.”
“By adhering to the new guidelines document, such bodies will be in a position to demonstrate absolute transparency and accountability for their actions, in line with the principles of good governance.”
Speaking at the launch event, AMAL Chairman and Chief Executive of Al Baraka Bank, Shabir Chohan, said: “The focus now is to ensure the proactive implementation of the guideline document.”
“This will prove critical in ensuring the necessary strengthening of the governance framework,” he said.