10 January 2007
2007 An Important Year For Charities
The registration of charities under the new Charities Act will begin next month, marking a new era of transparency and
accountability for New Zealand charities.
On 1 February 2007, the Charities Commission will open the Charities Register to receive applications for registration
under the Charities Act 2005. While registration with the Charities Commission is voluntary, charities that want to
retain their income tax and gift duty exemptions will need to register before the tax laws change on 1 July 2008.
Chief Executive of the Charities Commission Trevor Garrett said the Charities Register, which will be available at www.charities.govt.nz, will help to increase public confidence in the charitable sector.
"Once there's a number of charities registered, the Register will provide more information about the purposes,
activities, income and expenditure of charitable organisations in New Zealand," he said. "It will become a valuable
resource for anyone who wants to make an informed donation to charity."
To be eligible for registration, organisations must show that they have a charitable purpose that relates to the relief
of poverty, the advancement of education or religion, or any other matter beneficial to the community. In addition, the
purpose must be directed towards the public benefit.
Mr Garrett said every applicant will be judged on its rules and activities on a case-by-case basis.
Once registered, charities will receive a unique registration number, which will indicate to the public that the charity
has met the requirements of registration. Members of the public will be entitled to ask fundraisers for this number in
situations where there is any doubt about a charity's legitimacy.
The Charities Act established the Charities Commission on 1 July 2005 to provide a registration and monitoring system
for charitable organisations in New Zealand and to provide education and support to the charitable sector.
ENDS