SENATOR DEAN SMITH
SHADOW ASSISTANT MINISTER FOR COMPETITION, CHARITIES AND TREASURY
SENATOR FOR WESTERN AUSTRALIA
MEDIA RELEASE
5 June 2024
LABOR HIDES CRITICAL PRODUCTIVITY COMMISSION REPORT
The Albanese Government is hiding a report expected to shape the future of religious charities and private and public schools – leaving them and their communities in limbo.
Under questioning from Senator Dean Smith in Budget Estimates, Productivity Commission officials revealed the report on overhauling Australia’s DGR (Deductible Gift Recipient) regime was handed to the Government on 10 May.
This means it has been with Assistant Minister Andrew Leigh for nearly a month, while anxious organisations await news of their fate.
The report is expected to reflect an earlier draft, recommendations of which included slashing the DGR status of religious charities and school building funds.
Officials confirmed that the report must be released within 25 sitting days, a date in mid-August, but Senator Smith urged Labor to make it public immediately.
“I have been meeting with organisations who expect to be impacted by these changes – so has Andrew Leigh, so he knows precisely how distressed they are,” Senator Smith said.
“It makes Labor keeping them waiting even more unacceptable.
“Andrew Leigh should release the report now and, while he’s at it, commit the Albanese Government to rejecting any recommendations that jeopardise giving to religious charities and school building funds.”
It was also uncovered that the Productivity Commission has not modelled the effect of the proposed DGR changes.
As a result, there is no way of knowing if it will – or can – achieve its aim of increasing charitable giving in Australia.
There is also no way of knowing the scale of the damage it might do.
Senator Smith said it cast further doubt on the Albanese Government’s ability to achieve its target of doubling philanthropic giving by 2030.
“The work religious charities are doing is more needed than ever in Labor’s cost of living crisis and the Government’s reward is to consider denying them charitable status in favour of groups it prefers ideologically,” he said.
“And Labor’s approach makes no sense.
“You cannot hope to double giving if you remove the incentive for donating to some of the country’s most established charities.”
ENDS