The government is calling on businesses, philanthropists and their agents to make suggestions on the policy options for how the operation of ancillary funds could be improved.
The government is consulting on options for increased flexibility in the operation of ancillary funds, particularly by improving the ability of ancillary funds to support large projects or transfer assets to other ancillary funds that are better placed to support on‑the‑ground charities.
Ancillary funds play a significant role in Australian philanthropy by providing a bridge between donors and the thousands of deductible gift recipients that contribute to Australia’s wellbeing through their work in welfare, education, research, arts, health, volunteer emergency services and the environment.
In 2018‑19, ancillary funds held more than $10 billion in net assets and provided benefits of $9.6 million to other deductible gift recipients.
The discussion paper is available on the Treasury website. Submissions are sought by 6 May 2022.
