Religious and school leaders blasted a report recommending reforms of Australia’s philanthropy laws for “excluding people of faith” as the Federal Government issued its reassurance that it would not disadvantage school communities.
The report, released on 18 July, recommends stripping tax-deductible donations from religious education in schools, school building funds and any activity that “advances religion.”
It also advises allowing scrapping the basic religious charity category, allowing the Australian Charities and Not-for-profits Commission to suspend or remove the leaders of religious institutions, such as priests or religious.
Assistant Competition, Charities and Treasury Minister Andrew Leigh said the government would not stop tax-deductible donations to school building funds, or towards religious education in private and public schools.
But he left open the possibility of expanding the powers of the Australian Charities and Not-for-profits Commission over churches and faith-based organisations, The Australian reported.
“The commission was charged with increasing philanthropy in Australia but incredibly thinks that can be achieved by excluding people of faith, who are known to give generously of their time and money,” said Archbishop Timothy Costelloe SDB, president of the Australian Catholic Bishops Conference in a statement.
Archbishop Costelloe said the commission did not appear to have sought constitutional legal advice before recommending abolishing the Basic Religious Charities category.
“In practice this means they could remove a priest from management of a parish and appoint someone else, interfering in the operation of a religious organisation,” he said.
The Australian constitution preludes the Federal government from “making laws for establishing any religion, imposing any religious observance, or prohibiting the free exercise of any religion.”
The archbishop also criticised recommendations regarding religious schools, which National Catholic Education Commission Executive Director Jacinta Collins slammed as “blatantly ignoring” the concerns of school communities.
“The recommendations to withdraw the Deductible Gift Recipient (DGR) status of building funds and for religious and ethics education in government schools is a direct attack on school and faith communities and fails to acknowledge the enormous contribution of faith groups to the social fabric of Australia,” Collins said in a statement.
“For over 200 years, Catholic schools have worked alongside the government in providing education to millions of Australians, largely through the goodwill and donations of families and people of faith.
“The removal of the DGR status will add a further financial burden on families and the broader community who are already dealing with significant cost-of-living pressures.
“As highlighted in the Gonski review, the government needs a more comprehensive consideration of school capital than just tax, and we look forward to working with the government on ways to broaden the ability of people to give, rather than undermine longstanding, well-established practices.”
Executive Council of Australian Jewry co-chief executive Peter Wertheim and Australian Federation of Islamic Councils president Rateb Jneid joined Catholic leaders in urging the government to reject the report, The Australian reported.
To allow the ACNC to suspend, appoint or remove religious leaders of charities would be “beyond their competence, and there is zero evidence of any need for such a drastic measure,” Wertheim said.