Media Release
For Immediate Release
18 October 2006
All Kiwis need to engage on proposed changes to tax rebate regime for charities
New Zealanders’ generosity may get an extra boost with a Government proposal to change the way giving is taxed in this
country.
The proposed changes to the tax rebate regime for charities announced by Inland Revenue Minister Peter Dunne today are
aimed at encouraging philanthropic giving and Tangata Whenua and community and voluntary organisations are urging New
Zealanders to participate in the debate.
A discussion document called Tax incentives for giving to charities and other
non-profit organisations has been released by the Inland Revenue Department, with submissions being sought on the
proposed changes by 28 November 2006.
“This is an issue that affects all New Zealanders – whether they are ‘givers’, are active as volunteers, or are users of
the many services and not-for-profit organisations that rely so heavily on philanthropy to make ends meet,” says Andrea
Goble, chief executive of Social Services Waikato.
Philanthropy New Zealand Executive Director Robyn Scott says overseas experience shows that people give more when giving
is made easy and they have a range of incentives to give.
“The Government has presented a range of credible options for encouraging generosity and we congratulate United Future
leader Peter Dunne, in his capacity as Revenue Minister, for his tenacity in driving this issue through in this
Parliamentary term,” Ms Scott says.
Dave Henderson, National Coordinator of the Association of Non-Governmental Organisations of Aotearoa (ANGOA) says the
sector is delighted that the Government is making the issue of giving and generosity a priority after almost a decade of
the Sector trying to get this on to the work programme.
“Tangata Whenua and the community and voluntary sector rely heavily on multiple funding streams, including donations and
philanthropic giving, to maintain the huge range of community services, from care for the elderly, to ambulances, and
sport and recreation activities,” Mr Henderson says.
Presbyterian Support Services New Zealand National Executive Officer Jo Lake says New Zealand is trailing other
comparative Commonwealth countries in promoting “a culture of giving” to the detriment of everyone.
“This is an issue that needs to be addressed sooner rather than later. Many charities already find it difficult to fund
their full range of services and tax relief is an important part of ensuring many groups are able to fund their
activities in a more sustainable way,” says Dr Lake.
New Zealand Federation of Voluntary Welfare Organisations Executive Director Tina Reid says the proposed changes put
forward by the Government also provides options for addressing taxation issues around volunteers, Maori authorities and
corporate donors.
“We are encouraging all groups who will be affected by these proposed changes to read and respond to the discussion
document,” she says.
The Inland Revenue Department will also be running a series of consultation workshops in main centres around the country
on the proposed changes (see attached schedule).
Information about taxation issues for charities is also available at the following links:
www.nzfvwo.org.nz/comvoices
www.philanthropy.org.nz
www.taxpolicy.ird.govt.nz
ENDS