Latest update on NFP reforms
The federal government is extending the start date of the Australian Charities and Not-for-profits Commission (ACNC) to 1 October 2012 from 1 July 2012, following extensive consultation with the not-for-profit (NFP) sector. This extension will provide more time for the ACNC Implementation Taskforce to prepare and distribute further guidance materials to assist charities in the transitional period. The extension will not affect the announced introduction of a general reporting framework and the establishment of a public information portal by 1 July 2013, nor the introduction of a statutory definition of ‘charity’ by 1 July 2013. Further information is available at the Treasury website.
The latest discussion paper released by Treasury on NFP reforms is Charitable fundraising regulation reform (PDF) , which sets out a framework for a new, nationally-consistent approach to the laws that govern charitable fundraising. The new rules are designed to replace the multitude of individual state and territory regulations affecting this sector, all of which pose a significant compliance burden on charities operating in more than one state. Comments on the paper are due to the Treasury by 5 April 2012 and it is accompanied by a new Treasury Fact sheet (PDF) which provides a quick overview of the proposed reforms. For more details please see the Institute's exposure drafts webpage on this paper.
The Institute has recently lodged its submission on the ACNC's discussion paper Implementation design (PDF). In January, the Institute lodged its submissions on the Treasury’s consultation papers Review of Not-for-Profit Governance Arrangements and the exposure draft, Australian Charities and Not-for-profits Commission Bill 2012. All these proposals form part of the federal government’s current reform proposals for the NFP sector.
More information on these reforms is available on our submissions page and also in Treasury’s third issue of its NFP newsletters (PDF), which is issued regularly to keep the NFP sector and the broader public up-to-date with the progress of the reform agenda. Key topics discussed in that newsletter include:
- The extension of the comment close period on its consultation papers on the governance framework for the NFP sector and the exposure draft of the ACNC legislation which were released in mid December by 1 week to 27 January 2012
- An overview of how all the current pieces of the NFP reform puzzle, including the consultation papers referred to above, fit together
- A discussion of the work being done by the Australian Accounting Standards Board on key accounting issues in the NFP sector including income, disclosures and service performance reporting.
Article last updated 20 November 2015