Fault-finding, fear and fabrication – for whom?

The Institute of Public Affairs (IPA) is at it again. Undermining much-needed reform, attacking the Government for evils entirely concocted and protecting powerful interests it will not name. All under the guise of defending privacy and freedom.

A diatribe of confected outrage against the new Australian Charities and Not-for-Profits Commission (ACNC) appeared in Murdoch's The Punch on Monday. The ACNC is the body devised to cut red tape for charities, weed out the shonks, ensure tax deductibility for genuine welfare providers and eliminate tax dodgers.

As with previous IPA anti-reform campaigns, we don't know who is paying for it. The Institute refuses to reveal its donors. But by seeing who benefits from their assaults, we may guess.

As usual with IPA attacks in Murdoch outlets, this piece is riddled with factual errors, distortions of the truth and tawdry imputation of motives.

Attributed to Peter Gregory, it opens with shock horror about the "incredible damage the Gillard government is about to unleash on the sector with the advent of the Australian Charities and Not-for-Profits Commission (ACNC)."

Just sheer nonsense. Reputable peak bodies have welcomed the initiative. The Australian Council for International Development represents 76 overseas aid agencies. "We welcomed the Federal Government's announcement in May 2011 to establish the Australian Charities and Not-For-Profits (NFPs) Commission and have continued to work …towards realising this objective," says ACFID's submission.

Gregory continues: "The ACNC will force charities to adhere to a raft of new tax and compliance requirements, dissuade people from becoming involved with charities and turn people off from donating."

No evidence is offered for this, because it is just false. In fact, the opposite is true. As UnitingCare noted in its submission, current regulation is "often complex, fragmented and resource intensive. It requires not-for-profit entities to navigate and comply with a plethora of regulations from all levels of government …" The agency "believes that a national regulator must have a focus on improving the current regulatory environment ..."

Simplifying compliance is one principal purpose of the Commission. If this doesn't happen, then yes, by all means complain. But to do so before the ACNA opens its doors is just malicious.

"The ACNC will force many charities to submit Annual Information Statements for the first time," Gregory claims. "They will have to give the government detailed information about their activities, operations and volunteers."

At last, a true statement. And thank goodness it is. What is the IPA's alternative? Should we allow operators to start 'charities', solicit funds from donors but keep no records and report to no-one? (If yes, please make cheques payable to 'Save the Austins Fund'.)

"The cost to charities of this will be huge. The Baptist Ministries initially estimated that the ACNC would cost Baptist churches across Australia an extra $1 million on compliance."

There are about 1,000 Baptist churches. Averaging 125 members each, that's $8 per Baptist per year to ensure accountability. Not huge.