A charity that allows its members to donate to charitable causes will be able to deduct the cost of their flights from their income tax return in 2017.
The National Association of Charitable Giving said the change will help to reduce the burden on taxpayers and make it easier for charities to raise funds.
It will make charitable donations more affordable for the millions of Australians who have no other option, said David Murray, the association’s executive director.
The organisation’s CEO, Sarah-Jane Dunans, said the charity was excited by the news and had already worked with charities around the world to help them make donations.
“The change will make it possible for charitable organisations to be able deduct travel expenses from their taxable income,” Ms Dunans said.
“We believe this will make the charity more attractive to donors and will allow charities to more easily raise funds for their programs and staff.”
With the cost-saving, we believe it will also help charities to make charitable contributions to more charities and to their communities.
“The new tax law is due to come into force in the coming weeks.
The charitable foundation will not be able make a contribution to a charity until the end of April 2018.
A spokesperson for the Commonwealth’s Department of Human Services said it had been in discussions with charities to help with the changes.”
Charities can make charitable gifts for a limited period, after which they have to make a tax return,” the spokesperson said.