The Government's recent proposal to modify the tax rules for charities has been a topic of significant debate and scrutiny. The proposed changes were met with a strong response from approximately 900 submitters, many of whom highlighted the complexities and potential unintended consequences of the proposed rules.
In light of this feedback, the Government hit pause on the proposed changes. But this is just a pause – reforms will resurface.
While some may see this as a chance to take a breath and continue with business as usual, we see this as a potential wasted golden opportunity. Now is the time for the charitable sector to come together and speak with one voice about how the taxation rules should be changed. In doing so there is the ability to provide a collective voice to give guidance to the Government on the direction it takes when the reform process recommences.
Buddle Findlay's taxation experts are working on a pro bono basis with key charitable organisations to design a workable and fair tax system for charities – and also address the Government's concerns. We would welcome any charities that wish to be part of this initiative.
