In late 2017, the Federal Government announced major reforms to the administration and oversight of organisations with Deductible Gift Recipient (DGR) status.

raise concern icon The reforms were originally set to start from 1 July 2019, but this start date has been revised to 1 July 2020.

As part of the proposed reforms, non-government DGR’s will be required to be a registered charity with the ACNC or be operated by a registered charity.

Existing DGR registers (Register of Environmental Organisations, Register of Cultural Organisations, Overseas Aid Gift Deductibility Scheme and the Register of Harm Prevention Charities), will be integrated with the ACNC Charity Register and duplicated reporting requirements will be abolished.

alert icon For DGR organisations that are:

there will be no change to DGR endorsement requirements. These organisations will not need to apply (or re-apply) for registration with the ACNC.

Eligible DGR organisations will be able to use a streamlined process to complete their registration as charities. DGR organisations eligible for the streamlined registration process are expected to include:

  • organisations listed on the Register of Environmental Organisations
  • organisations listed on the Register of Cultural Organisations
  • organisations holding the following DGR endorsements:
    • school building funds,
    • ancillary funds (including both public and private ancillary funds that aren’t currently registered as charities),
    • necessitous circumstances funds (operated by an entity able to be registered as a charity)
    • approved research institutes (with a principal purpose that may be recognised as charitable)

In limited cases, The Commissioner of Taxation may provide an exemption from the requirement to register.

The ACNC will provide further updates on the DGR reform measures, as well as any streamlined registration process, in due course.