ACNC abolition bill introduced
Yesterday the Federal Government presented the Australian Charities and Not-For-Profits Commission (repeal) (No.1) Bill 2014 to Parliament.
This is consistent with the Government’s stated intention to abolish the ACNC.
However, the Bill gives little guidance to how this will be implemented and the implications for Not-For-Profit organisations.
It contemplates that there will be another “successor Agency” which will be determined by Minister Andrews and contains some provisions for transfer of records to that Agency as well as some other minor transitional arrangements.
Importantly, none of the provisions of this Bill will come into effect until a second Bill is presented. The second Bill is to contain the detail for the replacement arrangements. It is to be presented sometime during the Winter sittings which start on 13 May and finish on 17 July.
To add to the uncertainty, there is currently no detail as to how the new regime will work and how it will be introduced. The Bill’s Explanatory Memorandum simply states that “views will be further explored during the next stage of the process and implementation options will give consideration to the impacts on different groups”.
What does this mean for you?
The ACNC will continue to operate until at least the second Bill is passed.
The Government has, however, already indicated that the financial reporting requirements for small, medium and large entities for the 2013-2014 year will not take effect. Keep an eye out for further announcements as the situation is constantly evolving.
For more information contact our Not-For-Profit Team: