It has, for a long time, been a common practice for some members to share their membership with friends and family. We have always felt that those who “share the breakfast table” should be able to share a membership number for patronage i.e. when purchasing.
Recently I was asked to review the patronage for our members and, as in past years, there are some memberships which have inordinately high purchases in a year. Sometimes this can be explained by a construction project, or a wedding, or some other unusual expenses for the household.
If it comes to light that there are non-member households using an unrelated member’s number for purchases, we are to inform the member that this practice is unacceptable. In fact, the Co-op could be accused of tax evasion, because we are allowing inflated member purchases to go unchecked. We pay income tax on any profits on non-member purchases. Also, our legal advisor has warned that the member is putting him/herself in a vulnerable position and could be open to accusations of coercion and suchlike.
So, any members who are sharing their numbers, PLEASE consider the ramifications for yourself and for the Co-op. Remember, it is easy to transfer some of your equity to open a new membership for a friend or family member.
Thank you for your consideration. - Sheila, Admin Manager
