Philanthropy Australia says that while the number of Private Prescribed Funds (PPFs) is substantially down on the 147 announced at the same time last year, it is understood the discrepancy was due in part to the prevailing uncertainty around the changes to PPFs.

The Rudd Government recently introduced legislation into Parliament to overhaul the regulation of these funds and create greater accountability and certainty in how they are established and managed. One immediate result is that from October 1, PPFs will be known as Private Ancillary Funds (PAFs).

Families and individuals can donate to a trust of their own, which then distributes funds to a range of other tax deductible entities. Donations to a trust are tax deductible.

“The Rudd Government continues to encourage a strong culture of private philanthropy in Australia,” the Assistant Treasurer said.

“There are now around 800 of these funds and they have donated more than $300 million for recognised charitable works,” the Assistant Treasurer said.

“We are all aware the global economic conditions are affecting charities, so it’s good to see the continuing commitment of Australians to private philanthropy even in these times.”