Changes to not-for-profit laws may silence activists and advocacy groups
The changes may have a ‘chilling effect’ on advocacy in the sector
March 7, 2021
In February 2021, the Treasury released an Exposure Draft of a law that would change how not-for-profit organisations are regulated in Australia. These changes, which have so far escaped widespread attention, could significantly stifle activist organisations and advocacy groups more broadly.
As a brief overview, all Australian not-for-profits (except for “basic religious charities”) must comply with certain minimum standards of behaviour in order to remain a “registered entity” and receive tax concessions. These Governance Standards have been administered and enforced by the Australian Charities and Not-for-profits Commission (ACNC) since late 2012.
“For superannuation funds, an alternative option is for any unpaid money to be instead paid to the ATO so that it can be reunited with the consumer’s active superannuation fund account,” the ASFA has told ASIC.
The superannuation funds also signalled their resistance to fund trustees to be distracted and have costs imposed to compensate clients for small amounts, and therefore signalled its opposition to any removal of the broad low-value compensation threshold of $20.
“ASFA does not support the removal of the broad low‐value compensation threshold of $20. As the current RG 256 notes, paying compensation to clients can require significant effort on the part of the licensee,” it said. “Requiring licensees to incur significant compliance and administrative costs in an effort to pay consumers compensation amounts as low as $1 would not be, in ASFA’s view, the best use of resources.”
“The pre-existing laws already contained a range of safeguards to ensure charities stayed within the law.”
Katrina Bullock, general counsel for Greenpeace Australia, said it was clear the government’s intent was to target protesters.
“Two of the three examples in the explanatory memorandum are about protest activity, which I think makes clear this is an attack on protest,” Bullock said.
“It’s pretty wild. It broadens de-registration to summary offences and if you start to have a look at what are summary offences, you’ll see pretty quick how low the bar is. In South Australia, for example, it is a summary offence to leave a farm-gate door open – that’s enough to have an entire charity deregistered.
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The party’s public statements are primarily aimed at stopping compulsory vaccination and coercive policies designed to encourage vaccination uptake. The federal health minister, Greg Hunt, has previously labelled the party “anti-vaxxers” while attempting to prevent its recent name change.
The retreat in Bellbrook, north-eastern New South Wales, was previously run by Michael’s wife, the banned wellness coach Barbara O’Neill, who wrongly told people their cancer was a fungus that could be cured with bicarbonate of soda rather than through conventional medical treatment, according to a finding from the Health Care Complaints Commission in 2019.
The commission also found O’Neill gave misleading and dangerous pregnancy and child-rearing advice in consultations and through online lectures.