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The Hon Lindsay Tanner MP Cabinet Minister for Finance and Deregulation

Media Release

The Hon Lindsay Tanner MP
Minister for Finance and Deregulation
Senator The Hon Ursula Stephens Parliamentary Secretary for Social Inclusion and the Voluntary Sector

15/2009
13 March 2009

Red tape to be slashed for charities and other non-profit groups

The Rudd Government today committed to slashing red tape in the multi-billion dollar non-profit sector that provides valuable community services for those in need.

The decision was made at the COAG Business Regulation and Competition Working Group (BRCWG) meeting held in Melbourne which was chaired by Lindsay Tanner and Dr Craig Emerson.

The BRCWG agreed to start work immediately on how to implement a standard Chart of Accounts and a nationally consistent approach to fundraising.

A recent Senate Inquiry found that overlapping and inconsistent regulation of the sector created an unnecessary compliance burden as well as hindering efforts to increase its transparency and accountability.

The sector is subject to 178 state and federal statutes and reports to 19 government entities and 74 other agencies.

Senator Ursula Stephens today attended the first BRCWG meeting for 2009 to discuss reform options with the states and territories. The push to slash red tape in the non-profit sector follows a meeting between 40 non-profit groups and Parliamentary Secretary for the Voluntary Sector, Ursula Stephens, in December.

Lindsay Tanner said “We were very pleased to learn the States and Territories have already been thinking and acting on reducing red tape in the non-profit sector. Today’s agreement means that we are all moving in the same direction.

“Earlier this week I highlighted the important of cooperation in this area in my address to the National Press Club.

“As a nation we’ve got a national economy that is under enormous pressure at the moment from the effects of the global recession. Productivity is the key to long-term sustainable growth. This makes the wider task of deregulation even more important now. Good regulation is also central to what I’d call social productivity.”

Senator Stephens said: “The current inefficient and unproductive arrangements put extra pressure on charities and other non-profit organisations who are wasting valuable resources on dealing with cumbersome red tape.”

“For example, when a charity wishes to pursue a fundraising drive across Australia, it is required to comply with six fundraising laws, including seeking a licence from six different ministers or regulators.”

The BRCWG will also look at further reform opportunities following completion of current reviews in the sector.

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Media Contact: Website:
Minister Tanner’s Office, Nardia Dazkiw - 0418 144 690
Senator Stephen’s Office, Nancy Waites - 0434 560 313
www.financeminister.gov.au

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