Late last year, the federal government introduced a bill to prohibit foreign political donors. It would have strangled charity and NGO political activity with red tape. After a strong backlash, earlier this month the government introduced a revised bill, with a substantially reduced, although still significant, level of donor-checking bureaucracy. Labor is backing the bill.
While the government’s amendments reduce the burdens on NGOs, they are more draconian for foreign donors. In the bill’s original version, all donations below $250 were deemed allowable. In the current version, foreign donors are completely banned from donating for Commonwealth electoral expenditure. This includes donations to political parties and to NGOs when their political advocacy might influence voting in a federal election.
While NGOs won’t need any anti-foreigner measures on donations below $100, a foreign donor could, in theory, be fined up $42,000 for making such a donation. NGOs would not be legally obliged to warn small donors of these potential consequences.Read More »