Deductible Gift Recipient (DGR) status allows an entity to receive tax deductible gifts and contributions from the public. Donors can claim an income tax deduction for donations of $2 or more to a DGR. This mechanism encourages philanthropy and provides support to the not-for-profit sector.
There are currently 52 categories of DGR set out in the gift provisions (Division 30) of the Income Tax Assessment Act 1997. Of these categories, 4 are currently administered by portfolio agencies. They are:
- Register of Cultural Organisations, administered by the Department of Infrastructure, Transport, Regional Development, Communications and the Arts
- Register of Environmental Organisations, administered by the Department of Climate Change, Energy, the Environment and Water
- Register of Harm Prevention Charities, administered by the Department of Social Services
- Overseas Aid Gift Deductibility Scheme, administered by the Department of Foreign Affairs and Trade.
The reform is intended to transfer administration of the 4 unique DGR categories from portfolio agencies to the Australian Tax Office (ATO).
The ATO would gain responsibility for assessing eligibility for the 4 unique DGR categories, consistent with the 48 other DGR general categories. The ATO would continue to be responsible for the endorsement of all 52 DGR categories.
This change is intended to make all DGR categories consistent in administration, reduce red tape imposed on endorsed organisations, and simplify the application process for organisations seeking DGR status.
You can submit responses to this consultation up until 19 February 2023. Interested parties are invited to comment on this consultation.
While submissions may be lodged electronically or by post, electronic lodgement is preferred. For accessibility reasons, please submit responses sent via email in a Word or RTF format. An additional PDF version may also be submitted.
All information (including name and address details) contained in submissions will be made available to the public on the Treasury website unless you indicate that you would like all or part of your submission to remain in confidence. Automatically generated confidentiality statements in emails do not suffice for this purpose. Respondents who would like part of their submission to remain in confidence should provide this information marked as such in a separate attachment.
Legal requirements, such as those imposed by the Freedom of Information Act 1982, may affect the confidentiality of your submission.
View our submission guidelines for further information.
How To Respond
Address written submissions to:
Parkes ACT 2600