General Manager’s presentation Brendon Ward Charities Services
The Charities Sector - Scale Size of the charities sector Total registered charities 26,891 Total asset base $40 billion Total gross income $14.7 billion Government Grants $5 billion Total expenditure $13.6 billion Donation tax credit $196 million Full-time paid staff 180,000 Volunteers 448,000 Department of Internal Affairs
Charities Services • Stronger and more resilient communities, and individuals contributing to and benefiting from the success of their communities • Transforming the way government agencies deliver their services Department of Internal Affairs
Goals for 2013: • Compliance Maturity • Better on line information and services • Increased education and advice to community organisations • Register integrity • Integration with Internal Affairs Department of Internal Affairs
Achievements and Changes • Elimination of backlog • Contact Centre from MBIE to DIA • Continued integration with DIA • Focus on holistic approach to customers • Community housing tax exemption from 2014 • Changes to financial reporting in 2015 Department of Internal Affairs
Public is better informed about registered charities We take pride in what we do : Public know what information about registered charities exists Information on the Charities Register now searchable We need you to keep it strong Transparency : Information about registered charities is available, relevant and reliable Clear, useful information available online Right information to support informed decisions New financial reporting standards are a new beginning Department of Internal Affairs
Better on line services and Information Open data and advanced search capability continues to be a valued tool on ‘charities.govt.nz’ website Simplified on-line filing of annual returns on ‘charities.govt.nz’ On line analysis and resource options New financial reporting standards to reflect the financial shape of the sector Department of Internal Affairs
Better information about charities Government agencies are well informed about the charitable sector and the needs of the public in supporting charities Inland Revenue is assured that registered charities qualify for tax exemptions This knowledge influences policy Department of Internal Affairs
Charities Services Education What have we done? What will we be doing? • • CEO Forums XRB Tier 1 & 2 • consultation and training CEO Action Learning for Tier 3 & 4 Groups • • Supporting working with XRB consultation on pacific, ethnic and Maori Tiers 3 and 4 communities • Work with IR engaging • Research to build with Marae understanding of charities • Maori Land Court needs training • Research on public trust and confidence in charities Department of Internal Affairs
Regional needs analysis • Making it easy and making it work • Regional survey to clarify the primary issues around governance and management in regions • Support charities in effective governance and management practices and capabilities Providing on line tools for charities to self assess and build their own capability Strengthening resources and information on ‘charities.govt.nz’ Department of Internal Affairs
Supporting an ‘Online focus’ Resource Online self support via assessment Community ‘Navigator’ Net Understanding of Local regional capability support needs networks Better telling of stories on new website Department of Internal Affairs
Department of Internal Affairs
Register Integrity • Rules and activities continue to be scrutinised • Still receiving over 1200 applications to be registered annually • Working to improve Annual return filing practice Department of Internal Affairs
Judicial Guidance • Still waiting on Supreme Court decision on Greenpeace • The Plumbers and Gasfitters decision has been valuable in developing the law around member societies Department of Internal Affairs
Compliance Maturity Compliance : We are stronger together Registered charities have the knowledge and incentives to meet Charities Act requirements Registered charities comply, and are seen to comply, with the requirements of the Charities Act Department of Internal Affairs
We have an continued focus on charities enforcement because… Recent media reinforces the message - charities need to deal with fraud Department of Internal Affairs
Fraud shuts Streets Ahead trust A Waitangirua charity aiming to keep teenagers out of gangs has closed after being robbed by its business manager. Cannons Creek woman Toni Lorraine Gardener has admitted to stealing $4000 from Streets Ahead 237 while working as its business manager. Department of Internal Affairs
Compliance Overview We use the Doesn’t want to comply/ wilfully negligent full force of the law We deter non- Do not want to comply but will compliance Compliance if we pay attention through detection Try to comply but don’t Education We assist you to comply always succeed Registration We make compliance simple and Willing to comply straightforward and supply guidance and advice Department of Internal Affairs
Whole of Government focus • Priority to recognise and detect fraud • Arrangements to partner with other agencies • Sharing issues of concern with: o Serious Fraud Office and o Inland Revenue Department of Internal Affairs
Building blocks for a stronger sector Department of Internal Affairs
Future Focus for Charities • System and process improvements • User centric focus – communications, website • Ensure charities are better connected to resources/information • Focus on filing of Annual Returns • Preparation for 2015 reporting regime • Review of housing charities • Proactive investigations in high risk areas • Fully integrated with DIA Department of Internal Affairs
Policy changes • Financial Reporting Standards for large (more than $2 million opex) being consulted on now • Income Tax Act 2007 – providing clarity around the tax consequences for deregistered changes • Incorporated Societies Act review • I April 2015, new reporting and assurance standards come into force Department of Internal Affairs
Thank you
Recommend
More recommend
