A bill proposing repeal of the Australian Charities and Not-for-profits Commission Act 2012, and thus abolishing the ACNC, was tabled in Parliament In March this year. The bill also proposes transitional arrangements relating to a successor agency for the ACNC. On 27 March the bill was referred to the Senate Standing Committee on Economics.

Submissions to the Committee closed on 2 May and it is due to report on 16 June.

Moore Stephens made a submission to the committee highlighting concerns with the number of aspects of the current ACNC legislative framework including in respect to:

  • The financial reporting framework, timelines and size thresholds;
  • Recognising the limited 'public interest' in the financial affairs of many charities and particularly for religious organisations;
  • Impacts of achieving harmonisation of reporting across jurisdictions and government departments;
  • Understanding of the size, structures and complexity of sector entities;
  • Insufficient transition arrangements contained in the 2012 legislation; and
  • Balancing the costs of compliance with the 'public interest' in their financial affairs.

Moore Stephens continues to support the 'one-stop-shop' framework envisaged in a single national regulator that works effectively with the sector and addresses accountability for charities in receipt of public funds while at the same time working to minimise duplication and harmonise requirements across jurisdictions and government departments within a 'report-once, use-often' model.

If our concerns are addressed we continue to see a restructured ACNC framework as one that could assist greatly in enhancing the sector's role within our national economy and civil society.

We have seen huge strides made within the last 20 years in a greater professionalization of the sector. The establishment of a national regulator, including streamlining and harmonising requirements, could be seen as a key part of further enhancing this journey. We see this as one of the principal reasons for its significant support across the sector to date. Given achievement of the underlying objectives, some further restructuring might provide the broad support necessary

If you would like to discuss our submission or any of your organisations requirements please contact the writer or your Moore Stephens relationship partner.

Attachments

submission_on_acnc_repeal_no_1_bill_2014_-_final.pdf

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