LOUISE SAUNDERS:
Also graphic illustrations on the television have been the aftermath of the earthquake in Haiti. There are many appeals and I'm sure many of you have given or have considered what you can give to what is, as you've heard on ABC News today, what is now being described as one of the worst humanitarian disasters in decades. And while I know you probably don't give with thoughts of being able to make a tax claim back on it, it is something for you to consider, and the Assistant Treasurer is Senator Nick Sherry, good morning to you.
NICK SHERRY:
Good morning, good morning to your listeners and happy New Year and hopefully a safe new year too.
SAUNDERS:
Let's hope it is a safe new year because we have been talking road safety here this morning and I know that many Tasmanians have probably started to think about their own finances and whether they can give to the earthquake appeals that are running for Haiti. But there is something to bear in mind Senator, when it comes to giving to overseas.
NICK SHERRY:
Yes, it is important to understand in terms of tax deductibility status there are a specific number of registered organisations who have aid gift-deductible status. And the reason for that is of course that the Australian Government wants to ensure that the organisations that are …
(Technical interruption)
SAUNDERS:
Nick Sherry, my apologies.
NICK SHERRY:
That's OK Louise.
SAUNDERS:
Tell me why the AusAid categorisation is a good idea?
NICK SHERRY:
Well because the Government wants to ensure that aid organisations, or any charities for that matter, but aid organisations in this case, are set up, are trusted organisations, are accountable, we can have faith in the way in which they deliver assistance - in this case of course, in the terrible and tragic circumstances of the earthquake in Haiti.
SAUNDERS:
And there must be some period of assessment and that information, if it's there, will be published on their website, would it?
NICK SHERRY:
Yes, that's right. The Tax Office and AusAid in this case publish a list. Look there are some obvious organisations – such as Red Cross, Care Australia, Oxfam, Save the Children, World Vision – there are many organisations that are established, that operate internationally, that are able to deliver assistance and aid. I think importantly too, if individuals want to collect money and still have tax deductible status they can enter into a partnership with these established and recognised organisations. But if you want to establish your own gift deductible scheme it can take 9 to 12 months. Therefore it's best to either contribute through an established organisation that is trusted and reputable or alternatively enter into what's called a partnership collection with that established organisation.
SAUNDERS:
OK, so you could do that in a workplace, organise to collect on their behalf and then you can collect around the office or whatever.
NICK SHERRY:
That's right, and it would have tax deductible status. But you must have the authority of the established organisation to do that.
SAUNDERS:
Ok, thank you for the advice, Nick Sherry, thank you.
NICK SHERRY:
Thanks Louise.