Help us build and protect your wealth, with private wealth services tailored to your specific needs.
9th May 2024 - Philanthropy and NFP’s
Giving can give you the satisfaction of making a positive impact. It can give you a stronger connection to communities.
It can also give you a tax benefit. And that tax benefit could be bigger this financial year than next.
Most Australians will be receiving lower tax bills after the Treasurer Jim Chalmers implements the stage three tax cuts from 1 July this year.
When it comes to philanthropy and giving, this means that for donations made this year, a higher tax deduction will be possible, in comparison to next year.
How can you take advantage of this opportunity?
For those who regularly give tax deductible donations to charity, this provides an opportunity to bring future years donations forward to this financial year, and take advantage of the higher rate.
Public ancillary funds (PuAFs) can help you to bring your giving forward.
PuAFs are charitable foundations that can receive tax deductible donations from the public, for the purpose of providing grants to DGR Item 1 Charities*. The Trustee has the ultimate decision power on which Charities can receive donations.
Deductions for donations to PuAFs can be spread over up to five income years, so you can defer your tax benefits if your income is less than expected in the 2024 financial year.
You can separate the decision to donate, from the decision about what charities you want to grant to, giving you time to think carefully about which charities and causes you wish to support. This means that you can bring your giving forward, but make your decisions on which charities to support later.
You can establish a sub-fund which is your own charitable giving account within the PuAF. The trustee will manage all of the operation and investment of the fund, so you can focus on the charities you want to support. You can involve your family, and share the enjoyment of giving back together.
PuAFs must donate at least 4% of their assets each financial year. The balance of the donations to the PuAF can be invested, with the objective of growing the capital over time, thereby giving far more to charity in the long term.
PuAFs are tax exempt, so investment returns are tax free, and eligible for full franking credit refunds, ultimately helping to further grow the amount available to give to charities you care about.
Using a PuAF is a strategy that is accessible for many Australians. Sub-funds in the Elston giving foundation can be established with as little as $25,000, though with low fees, this is an option that can be used with large balances as well.
To learn more about how you can bring your giving forward, and get ahead of the Stage 3 tax cuts, talk to your adviser, or get in touch with Susan Chenoweth from Elston Philanthropic Services.
References:
*DGR Item 1 refers you to lists of funds, authorities and institutions such as public hospitals, overseas aid funds and public museums (including entities listed by name). Deductible gift recipients | ABN Lookup (business.gov.au)
Gifts and donations | Australian Taxation Office (ato.gov.au)
Public ancillary funds | Australian Taxation Office (ato.gov.au)
This material has been prepared for general information purposes only and not as specific advice to any particular person. Any advice contained in this material is General Advice and does not take into account any person’s individual investment objectives, financial situation or needs. Before making an investment decision based on this advice you should consider whether it is appropriate to your particular circumstances, alternatively seek professional advice. Where the General Advice relates to the acquisition or possible acquisition of a financial product, you should obtain a Product Disclosure Statement (“PDS”) relating to the product and consider the PDS before making any decision about whether to acquire the product. You will find further details of the service we provide and any cost to you within the Financial Services Guide. Any references to past investment performance are not an indication of future investment returns. Prepared by EP Financial Service Pty Ltd ABN 52 130 772 495 AFSL 325 252 (“Elston”). Although every effort has been made to verify the accuracy of the information contained in this material, Elston, its officers, representatives, employees and agents disclaim all liability (except for any liability which by law cannot be excluded), for any error, inaccuracy in, or omission from the information contained in this material or any loss or damage suffered by any person directly or indirectly through relying on this information.
26 March 2025
We often refer to Christmas as the season for giving. But in reality, EOFY is one of the most popular times for philanthropy. When reviewing your client’s affairs, it's worthwhile to discuss the merits of structured giving or supporting a charity. Read more
3 December 2024
With the festive season fast approaching, giving back becomes front of mind for many of us. Those with children or younger family members also start to think about how to use this time of year to teach our loved ones that much joy comes from what you give and not what you receive. Read more
11 September 2024
Elston recently undertook national research with advisers and givers. This article provides an overview of the results and highlights the main factors that are inhibiting some advisers from discussing philanthropy with their clients. Read more
21 August 2024
When many people think about estate planning, they’re initially focused on who they should leave their assets to. But often, through the estate planning process, they also find themselves thinking about the legacy they could be leaving. Read more
5 August 2024
Our next Change Makers event will be on September 10 at Brisbane’s Gallery of Modern Art. We’ll be exploring how innovative QAGOMA programs are making a real and positive impact in the community. Read more
2 June 2024
With the end of the financial year fast approaching, some of us are thinking about wrapping things up neatly in a bow and making sure we don’t get stuck with an unnecessarily large tax bill. But for others, the end of the financial year is a beginning. Read more
9 May 2024
Treasurer Jim Chalmers is implementing Stage three tax cuts from 1 July 2024. When it comes to philanthropy and giving, this means that for donations made this year, a higher tax deduction will be possible, in comparison to next year. Read more
25 March 2024
The Change Makers events shine a light on the transformative work being undertaken in communities right now. At our most recent forum, we focused on the people who are creating new ways for disability to be turned into ability. Read more
1 December 2023
HUB24 announced the launch of a new whitepaper, ‘Directing the matrix: meeting the advice needs of high net worth clients’. Read now to get insights from Elston Head of Philanthropic Services Susan Chenoweth and many other experienced advisers. Read more
27 October 2023
In recent years, charity, non-profit and philanthropic fiduciaries have started looking at how their investments can be better aligned with their missions. Is it possible? Read this article to find out more. Read more
7 September 2023
Our Change Makers Forum at the University of Queensland brings together three pioneers in medical research who are striving to discover new solutions for some of the world's biggest health challenges. Read more
23 June 2023
See what Head of Philanthropic Services Susan Chenoweth thinks about the $5 billion donation of shares in Fortescue Metals Group by Andrew Forrest and his wife Nicola to their Minderoo Foundation. Read more
20 March 2023
Following on from the success of our inaugural philanthropy forum at Elston House in Brisbane, we gathered at the Art Gallery of NSW in March for another inspiring discussion. Our second forum was once again hosted by Elston’s Head of Philanthropic Services, Susan Chenoweth. Read more
9 March 2023
Our second Change Makers Forum, which is also our first in Sydney, brings together three incredible women striving to achieve gender equality, invest in women, and improve opportunities for girls. Read more
19 February 2023
As interest in philanthropy grows, more and more professional advisers are wanting to talk to their clients about structured giving. And starting a conversation about Philanthropy does not have to be difficult. Read this article for some tips. Read more
29 November 2022
The discussion on our Change Makers Forum: Investing in Women night was fascinating and free flowing. Too dynamic to capture every exchange. But to give you a sense of the main points from the night, we’ve included some key excerpts in this article. Read more
10 November 2022
Our first forum shone a light on the need for gender equality and the transformative power of investing in women. To learn more about the change of thinking that's inspiring more and more philanthropists, browse through our resources page. Read more
12 September 2022
Published on HUB24 More Australians are looking to give with greater impact and are likely to turn to their trusted adviser for guidance. But are advisers equipped with the knowledge and tools to start the conversation? Read more
5 August 2022
Published on Markets Group When the giving gets tough, the tough... go to their professional advisors. The philanthropic space is complex, and clients need knowledgable professionals to help guide them through the giving process. Read more
7 March 2022
This February we launched a public ancillary fund called the Elston Giving Foundation. The foundation has been developed to make it easier for you to structure your giving in a simpler and tax effective way. Read more
3 March 2022
One of the things I love about working at Elston is the way we support great causes. That’s not a corporate thing. Read more
2 March 2022
The speed and magnitude of recent events have shocked us all. The floods have hit our neighbours, our friends, our workmates, our clients. And it’s hard to know how long the road to recovery may be. Read more
Join our mail list for the latest insights and updates from Elston.
Elston Group - ACN 130 771 523
EP Financial Services Pty Ltd - ABN 52 130 772 495 / AFSL 325 252
© 2025 Elston Financial Solutions ‧ Privacy Policy ‧ Created by 7thVision This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
