Annabel Young National Revenue Spokesperson
16 October 2001
Charities hit by new compliance rules
The Government's two decisions on tax and charities today will drive down charitable and volunteer effort, says
National's Revenue spokesperson Annabel Young.
"The decision to introduce registration reporting and monitoring for all charities will impose unbearable costs on the
charitable and voluntary sector. The worst affected will be small charities which cannot afford to absorb additional
overheads.
"Many small charities will be driven under by Dr Cullen's extra bureaucracy.
"The second decision to set up a working party gives no indication of who will be involved. The charitable sector is
very diverse. At the very least, Dr Cullen will need to have representatives from both big and small charities,
religious and secular charities, and the social welfare, sports and arts sectors. He will need people with tax
experience.
"Charities will be keen for representation on the working party but this will cost them time and money. They simply
don't have spare money or staff to pour into Dr Cullen's think tank.
"Charities are very afraid of the additional costs the Government can impose on them. Most charities run on the smell of
an oily rag and they want to put every dollar into their good works, not into Government compliance costs," said Annabel
Young.
Ends