19 January 2011

Declaration of the 2011 Victorian and New South Wales Floods as Disasters for Tax Purposes

The Treasurer, the Hon Wayne Swan MP, today declared the Victorian floods a disaster for the purposes of establishing Australian disaster relief funds, effective from 15 January 2011. 

The Treasurer has also declared the New South Wales floods a disaster for the purposes of establishing Australian disaster relief funds, effective from 10 January 2011. 

A similar declaration has been made by the Queensland Government in relation to floods in that state.

These declarations (and the declarations by the Queensland Government) ensure that qualifying existing funds established for the relief of people in communities affected by the floods, and new funds, can receive tax deductible donations.

Funds still need to apply to the Tax Office for formal endorsement, and the Tax Office has established a fast track process for this purpose.

These donations can be used to provide money or direct assistance for relief, recovery and community reconstruction work to assist affected individuals and communities. 

Donations to Australian disaster relief funds, established to provide relief in the aftermath of the floods, will be tax deductible for a period of two years from the date of the respective declarations. 

The Australian Government will continue to assist flood affected communities as they undertake the long task of rebuilding and re-establishing. 

Thousands of properties along Australia’s east coast have been affected by flooding, resulting in widespread damage to property and the natural environment.

Further information on establishing an Australian disaster relief fund is available at www.ato.gov.au

For more information about Commonwealth Government assistance for flood victims go to: www.disasterassist.gov.au