On 1 July, the NSW Government introduced new laws for charities carrying out fundraising activities in NSW. These changes aim to raise public confidence, increase transparency and bolster support for charitable appeals.
The Charitable Fundraising Regulation 2021 sets out the following new rules for fundraising NFPs:
1. Donation receipts
- All donations now need to be receipted
- A receipt must be consecutively numbered, issued in consecutive sequence, and include the following details:
1. The name, including a trading or business name, of the fundraising organisation
2. Fundraising/authority number (a new requirement)
3. The amount of money received
4. Date and time the receipt was issued (time stamping being a new requirement)
Purpose is working with clients to implement these changes, where we are involved in receipting. For clients where we are not involved, we encourage you to review your receipts and ensure they comply with the changes above.
2. Other changes
- New reporting and audit requirements were set out, including the submission of annual returns and compliance statements to NSW Fair Trading. For ACNC charities however, this does not represent any substantial change. ACNC Charities with an authority to fundraise can meet all future obligations via their AIS submission.
- A new maximum five-year term for fundraising authorities will be put in place, to increase oversight of fundraisers. Again, ACNC registered organisations will have this process streamlined – they will be automatically eligible to apply for and receive a fundraising authority.
- Upgraded enforcement and compliance powers have been introduced, allowing the regulator to act quickly when fundraising authorities are doing the wrong thing. These changes increase maximum penalties from $5,500 to $22,000, with Fair Trading inspectors able to issue compliance notices.
For more information about the changes, see the Fair Trading website.
Recent Comments