Red Tape Cuts Heralded for Philanthropy
Friday, 29th May 2015 at 12:26 pm
The Abbott Government has vowed to cut red tape in an effort to boost philanthropy in Australia.
Assistant Treasurer Josh Frydenberg and Social Services Minister Scott Morrison announced that the Government would remove the need for donors to obtain a valuation from the Australian Taxation Office for listed shares or managed funds greater than $5,000.
Donors will also no longer need to pay a $241 fee to the Australian Taxation Office for these valuations.
They also announced that they would be enhancing portability for private ancillary funds (PAFs) on winding up.
“The second measure will provide consistent treatment for PAFs and public ancillary funds in the winding up phase,” Frydenberg and Morrison said.
“It will provide PAFs, which are private funds set up to provide money or property to deductible gift recipients, with the flexibility to transfer their net assets to other ancillary funds. This option is already available to public ancillary funds in the winding up phase.
“These measures are part of the Government’s commitment to the Partnership, and to increasing philanthropy in Australia.”
Morrison announced a commitment of $650,000 over three years for Philanthropy Australia to run the event, which will commence on December 7 this year.
Morrison said that part of the funding will go towards $160,000 worth of grants which community groups can apply for until July 3, to showcase their philanthropic partnerships.
“The Prime Minister’s Community Business Partnership brings together Government, community and business leaders to strengthen communities through philanthropy, volunteering and investment,” Morrison said.
“The Partnership will examine trends and promote best practice in the sector and investigate how innovative investment and financing can better support a culture of giving and volunteering in Australia.
“Importantly, the Partnership will identify incentives and barriers to philanthropic giving. We don’t want companies, trusts and foundations to be burdened by unnecessary obstacles or red tape as they try to achieve their objectives.
“As deputy chair of the Partnership, I look forward to progressing these issues further with Partnership members.”
Philanthropy Australia Acting CEO Chris Wootton said the Community and Philanthropy Partnerships Week will celebrate what has been achieved in Australia through strong partnerships between community groups and businesses, philanthropic trusts or individuals.
“So much is possible when grass-roots community groups partner with philanthropic support. Community and Philanthropy Partnerships Week will give everyone a reason to celebrate and acknowledge what has been achieved,” Wootton said.
“It is a chance for community groups and philanthropic partners to showcase and promote the great work they do together. It is also an opportunity to share knowledge and best practice, to strengthen or develop new relationships and partnerships.”