With March literally next week, there are some important new laws and deadlines charities need to be ready for.
As we know The Australian Charities and Not-for-profits Commission (ACNC) Governance Standards contain core minimum standards registered charities are required to follow. This is to build trust and confidence in the sector and ensure charities operate in a lawful, accountable and responsible way. Non-compliance to the standards means charities would have their registration with the ACNC revoked, and therefore lose important charity tax concessions. However some charities have a carve out from some of these requirements.
On Wednesday, the Australian Government passed legislative amendments which will see some charities have new requirements. They relate to the ACNC’s Governance Standard 6 and primarily impact charities that are eligible to be a Basic Religious Charity (BRC).
Aside from the ethical imperative, the legal changes incentivise charities to participate in the Redress Scheme. This is expected to ensure survivors of institutional child sexual abuse are appropriately compensated for their trauma. The ACNC said “Charities are required to take all reasonable steps to join the National Redress Scheme for Institutional Child Sexual Abuse if a redress claim has been, or is likely to be, made against it”.
For more on The Redress Scheme see here.
What are the changes to Basic Religious Charities?