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National regulatory approach to charitable fundraising
Dan Wade • September 23, 2020
National regulatory approach to charitable fundraising
State and territory NFP regulators have issued a statement about the enforcement approach they will take in the light of COVID-19.
The COVID-19 Statement of Regulatory Intent responds to laws made because of the pandemic.
Regulators across Australia recognise that COVID-19 has created an exceptional set of circumstances that will have significant effects on charitable fundraisers.
They might, for instance, need to comply with many fundraising laws (including several registrations) if they intend to raise money in more than one state or territory.
For fundraisers that cannot comply with relevant legislative requirements due to the impacts of COVID-19, regulators will take a supportive and educative approach when assessing compliance.
Regulators will continue to monitor the situation and provide advice and help, they say.
NSW Fair Trading, for instance, recognises that due to the pandemic many authority holders may experience difficulty in complying with their statutory obligations under the Charitable Fundraising Act 1991.
Charitable 'fundraising authority' holders unaffected by the pandemic are expected to honour their existing obligations under the act.
Where an authority holder cannot comply due to factors outside its control associated with the pandemic, NSW Fair Trading will take a supportive and educative approach to assessing compliance. The approach will be implemented provided that authority holders have made genuine documented attempts to comply.
Requirements that might be affected by the pandemic include:
- Lodgement of financial returns/reports and other documents under section 23, and
- Annual auditing requirements for authority holders that receive more than $250,000 gross in any financial year under section 24.
NSW Fair Trading reserves the right to vary its approach as appropriate, particularly in circumstances that might involve a significant risk of harm to the community.
If organisations are experiencing difficulties in complying with their statutory obligations as a result of COVID-19, they may contact NSW Fair Trading.
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