The Committee inquired into the administration, transparency and effectiveness of the Register of Environmental Organisations under the Income Tax Assessment Act 1997.

In seeking to improve the natural environment, many not-for-profit environmental organisations work hand-in-hand with communities across Australia. Much of this work relies on the generous financial contributions of members and supporters. Often these donations are tax-deductible, which recognises the public good that comes from environmental work.

As such, public trust and confidence in the tax-concessional arrangements for environmental organisations is essential. The public should be assured that tax concessions are granted appropriately. Similarly, donors should be assured that their donations are distributed and used in line with their expectations.

This inquiry considered the administration and transparency of the Register of Environmental Organisations, which is the Commonwealth scheme to enable eligible environmental organisations to receive tax-deductible donations. Consistent with the terms of reference, the focus of the inquiry was on the effectiveness of the Register in supporting communities to undertake practical action to improve the environment.

In preparing the report of the inquiry, the Committee has identified measures to strengthen the integrity of tax-concessional arrangements for environmental organisations. The Committee has also identified scope to streamline the administration of the system. The recommendations outlined in the report are intended to make the system clearer for donors, environmental organisations, and the wider community.