If you are a charity, there are certain requirements that you must follow before conducting charitable fundraising. Nevertheless, these requirements differ in each state and territory. To ensure your charity conducts charitable fundraising lawfully, this article outlines what is charitable fundraising and the licensing requirements for charities registered with the Australian Charities and Not-for-profits Commission (‘ACNC’).
What is Charitable Fundraising?
Each state and territory considers ‘fundraising’ differently. In general, where your fundraising is for a ‘charitable purpose’, it is likely subject to the following licensing requirements. A charitable purpose must be for public or community benefit.
There are different requirements in each state and territory, except the Northern Territory. Therefore, if you are fundraising in more than one state or territory, you will need to consider the laws in each of those places. Additionally, you must obtain any relevant licence and permission in each state or territory you intend to fundraise in. This will likely be the case when you are fundraising online.
What Are the Licensing Requirements for Charities Conducting Charitable Fundraising?
In some states and territories, there is no requirement for ACNC-registered charities to apply for a fundraising licence. Alternatively, where there is a requirement to obtain a licence, some exemptions may apply to your charity.
In saying that, there may still be a requirement to notify the relevant state or territory regulator and ongoing compliance obligations. Moreover, additional permissions may be required in different states and territories depending on the method of fundraising you are doing, such as street collections or door-knock appeals.
Below we consider the licencing requirements in each state.
New South Wales
If you are an ACNC-registered charity based in New South Wales, you are automatically eligible to fundraise. However, you must submit an application form with NSW Fair Trading to obtain authority to fundraise. NSW Fair Trading can subsequently issue an authority for up to five years. However, the duration of your authority depends on the actual length of time you intend to fundraise.
In saying that, there are some exemptions to the requirement to obtain authority to fundraise. The exemption applies if your charity receives less than $15,000 in a financial year from fundraising.
You can apply for a licence here.
Victoria
If you are an ACNC-registered charity, you are exempt from the requirement of registering as a fundraiser. Nevertheless, you must notify Consumer Affairs Victoria of your intention to fundraise.
You can notify Consumer Affairs Victoria here.
Queensland
From 1 May 2023, if you are an ACNC-registered charity, you no longer need to register as a charity in Queensland to fundraise. However, you must submit an ACNC registration notification with the Queensland Office of Fair Trading.
You can submit an ACNC registration notification here.
ACT
If you are an ACNC-registered charity, you do not need to obtain a charitable collections licence to fundraise in the ACT.
South Australia
If you are an ACNC-registered charity, you already hold a Collections for Charitable Purposes Licence. As a result, you have the authority to fundraise if you notify Consumer and Business Services of your intention to fundraise in South Australia online.
Western Australia
Suppose you are an ACNC-registered charity intending to fundraise in Western Australia. In that case, you must obtain:
- a Charitable Collections Licence through the Commissioner for Consumer Protection; or
- the authority to fundraise on behalf of a holder of an existing licence.
This is subject to approval by the Commissioner for Consumer Protection. There are no specific exemptions in Western Australia, meaning all organisations or individuals wanting to fundraise for a charitable purpose in Western Australia are required to obtain a licence or authority from the Commissioner of Consumer Protection. Once you have obtained a licence, you do not need to renew it.
You can apply for a licence here.
Tasmania
You must obtain approval to fundraise in Tasmania if your ACNC-registered charity is:
- incorporated outside of Tasmania; or
- a company under the Corporations Act 2001 (Cth) with a principal office located outside of Tasmania,
You will also be required to obtain a national police check.
Exemptions to the requirement to obtain approval in Tasmania include:
- incorporated associations based in Tasmania;
- corporations with their principal office located in Tasmania; or
- an appeal by an organisation to its membership.
You can apply for a licence here.
Key Takeaways
If you are an ACNC-registered charity, you may have to obtain a licence or notify an authority if you intend to fundraise in a particular state or territory. Since regulation is not consistent across the states and territories, you must be aware of the different licensing requirements before you begin fundraising to avoid further issues down the track.
If you need assistance understanding your licensing requirements to fundraise as a charity, contact our experienced charity lawyers as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on 1300 544 755 or visit our membership page.