House of Assembly - Fifty-Second Parliament, First Session (52-1)
2010-07-01 Daily Xml

Contents

TRUSTEE (CHARITABLE TRUSTS) AMENDMENT BILL

Second Reading

Adjourned debate on second reading.

(Continued from 23 June 2010.)

Dr McFETRIDGE (Morphett) (16:04): This is a very important piece of legislation, but we will not keep the house very long. It is a minor amendment legislatively to the Trustee Act. However, what it does is of vital importance to many of our country communities and country hospitals. The bill to amend the Trustee Act was introduced on 23 June. This bill makes amendments to the Trustee Act 1936 that will rectify an oversight—some people say a failing—when the government introduced the Health Care Act in 2008. On introducing the health care legislation, the government saw but was unable to correct an issue with the health advisory councils that they would not be allowed to continue to hold and receive tax deductible donations and bequests in trust for the local hospital. This was previously allowed, as these gifts, bequests and donations went to the hospital through the hospital board.

When the government scrapped local hospital boards, country hospitals then came under the umbrella of Country Health SA. As a government body, Country Health SA is not able to get deductible gift recipient status. I understand there are now millions held in trust by Country Health SA for various country hospitals, and I am told many non-government organisations, such as Red Cross, hold money in trust for country hospitals. The Trustee (Charitable Trusts) Amendment Bill 2010 will ensure that a gift fund established to hold donations or other gifts for the benefit of a government instrumentality, such as a public hospital or ambulance service, can hold the donations or gifts in trust for the purposes of the Australian Taxation Office.

The legislative change will enable HACs to be considered as charitable organisations, despite their connection to the government, and allow DGA endorsement for gifts and donations to funds utilised for the benefit of the local operations of Country Health SA hospitals and SA Ambulance Service Incorporated. I wish the bill a speedy passage through the rest of its stages.

The Hon. J.D. HILL (Kaurna—Minister for Health, Minister for Mental Health and Substance Abuse, Minister for the Southern Suburbs, Minister Assisting the Premier in the Arts) (16:06): I thank the opposition for supporting this legislation. This brings to fruition a commitment that was made by the government to country communities that we would ensure that the health advisory councils (HACs) were able to hold and look after donations that had been given to them and, in particular, to ensure that they could receive gifts which the giver could seek a tax benefit from. This is a sensible thing, and I am glad the opposition supports it. In concluding my remarks, I thank the departmental officers who have assisted me, particularly Rob Smetak from health and Kellie Tilbrook from the Attorney-General's Department, and also parliamentary counsel Annette Lever for her assistance. I commend the legislation to the house.

Bill read a second time and taken through its remaining stages.