News

Tax deductible break for men’s sheds

By Yarrawonga Chronicle

The Federal Government will unlock new fundraising potential for Men’s and Women’s Sheds across the country. 

Under new legislation announced by the Federal Treasurer Josh Frydenberg, the Sheds will join charities including the Red Cross, World Vision and The Smith Family which already have this status, known as a Deductible Gift Recipient (DGR). 

“This would help to secure the financial stability of some existing Sheds, allow for the expansion of others or even assist in the creation of more Men’s and Women’s Sheds,” Mr Frydenberg said.

The Australian Men’s Shed Association (AMSA) Executive Officer Mr David Helmers said that “For many years Sheds around Australia have continually inquired to AMSA on how to receive Deductible Gift Recipient (DGR) Status. 

“Men’s Sheds rely on grants as well as their fundraising activities and donations from within their communities. Until now most have been precluded from accessing significant funds through corporate or philanthropic entities as they do not have Deductible Gift Recipient status.” 

The rapid growth of Men’s Sheds has been a real success story. 

There are currently 1033 Men’s Sheds operating around Australia and another 2000 operating internationally. 

“Men’s Sheds do far more than fix furniture and build toys; they are also playing an important role within their community, address Male Health and mental health issues and are socially inclusive,” Mr Helmers said. 

“Ted O’Brien (Federal Member for Fairfax) realised the need for Sheds to be eligible for DGR and has worked hard on our behalf to make the necessary changes to allow sheds to receive DGR Status. 

“And yesterday the Federal Treasurer Josh Frydenberg announced that new legislation will allow for Men’s Sheds to be eligible for DGR as of July 1st 2020. 

“For sheds to finally be able to receive DGR status is a major breakthrough and will open new opportunities to keep the development of this initiative moving forward.”

What this means is that from July, 1 2020 anyone who donates $2 or more to a Shed can claim an income tax deduction for that donation and will make Sheds eligible to apply for many grants that have DGR status as part of the application eligibility. 

“This is just one example of the invaluable support that around 1,000 Sheds provide, from the Rockhampton Men’s Shed in Queensland, to the Exmouth Men’s Shed in Western Australia and the Kings Meadows Men’s Shed in Tasmania,” Mr Frydenberg said. 

“The sheds were the centre of so many Australian communities, providing a welcoming place for comradery,” Finance Minister Mathias Cormann added.

This is a huge step forward for the Men’s Shed movement and is acknowledgement and recognition of the great work they are doing together in making a significant difference in the health and wellbeing of men and their communities.