The Arbeiterwohlfahrt Kreisverband Frankfurt am Main e.V announces that the organization has regained its non-profit status. This was granted today according to appropriate announcement of the tax office Frankfurt retroactively starting from the year 2020. The acknowledgment as non-profit welfare association is a further milestone on the way of the restructuring of the federation.
The AWO Frankfurt was withdrawn the non-profit character retroactively for the years since 2014; in this period the organization was treated like a private business enterprise, which led retroactively to a substantially higher tax load. Due to the withdrawal of the non-profit status, the situation was aggravated by the fact that no third-party funds could be acquired against donation receipts in order to support the charitable projects of the main and honorary staff.
The task of the new board was to save the association from insolvency, to clear the backlog of renovations caused in the years before and to remedy the deficiencies objected to by the tax office so that the non-profit status under tax law could be granted again.
"The return to the status of the tax-legal non-profit status was a challenge for main and honorary office of the federation. However: all objections and determinations of the tax authorities could be eliminated already in the first year of our reorientation. The associated tax back payments have been made and the reports on the audit of the annual financial statements 2020 and 2021 by the appointed auditing firm certify the AWO Frankfurt a healthy economic status," confirms Axel Dornis, CFO of AWO Frankfurt.
Because of the regained economic stability, the additional tax expenses and current investments could be made from own funds.
"Our work as a board began with almost empty coffers, properties in need of renovation and non-transparent structures. But we also have a great team that has worked tirelessly over the past three years to address the issues that were objectionable. I am delighted that we have succeeded in achieving this goal in such a short time. For all of us - not only for the Frankfurt AWO world - the recovery of the non-profit status is an important signal for the restored order," explains Steffen Krollmann, Chairman of the Board AWO Frankfurt.
