Greatest Good June 2024 Regulatory Update
NSW Industrial Manslaughter laws
The Work Health and Safety Amendment (Industrial Manslaughter) Bill was introduced into NSW Parliament in early June.
If the legislation is passed, the Bill introduces a new offence of industrial manslaughter into the Work Health and Safety Act 2022 (NSW), but it does not create any new work health and safety duties.
The purpose of the Bill is to send a clear message that workplace fatalities are as serious as all other fatalities.
SafeWork NSW’s new Psychological Health and Safety Strategy 2024 – 2026
SafeWork NSW has launched its Psychological Health and Safety Strategy 2024 – 2026. The Strategy promotes preventative and proactive (rather than reactive) approaches to managing psychological health and safety in the workplace. This strategy reflects the regulators increased focus on monitoring and enforcing compliance in this area.
It replaces the previous strategy, the Mentally Healthy Workplaces Strategy 2018 – 2022 which focused on raising awareness and building capacity in workplaces to manage psychological health and safety issues. While these issues are still key focuses of the new strategy, the regulator has indicated an increased focus on compliance moving forward.
The strategy also includes a simple plan on a page which workforces can consider as a framework to ensure compliance with the new strategy.
Annual Wage Review Decision 2024
The Fair Work Commission has announced a 3.75% increase in the National Minimum Wage and minimum wages across all modern awards. This change is set to take effect from the first full pay period starting on or after July 1, 2024.
Additionally, the Commission has signaled its intention to initiate proceedings to address significant concerns regarding the potential gender undervaluation in modern award minimum wage rates, particularly in industries and occupations predominantly occupied by women. The following occupations will soon be the focus of Commission-initiated proceedings:
- Early childhood education and care workers;
- Disability home care workers;
- Other social and community services workers;
- Dental assistants;
- Medical technicians;
- Psychologists;
- Other health professionals;
- Pharmacists.
The magnitude of the increase is one of the most substantial in recent times, reflecting the current inflationary pressures affecting both businesses and workers.
Strategy for gender equality
The Commonwealth Government has released its strategy for moving towards gender equality through internal government policy, law reform, and changes to procurement requirements..
Annual self-review returns for non-charitable NFPs
Commencing 1 July 2024, non-charitable not-for-profits (NFPs) holding an active Australian Business Number (ABN) and seeking income tax exemption must submit an annual self-review return. This new mandate does not apply to charities registered with the Australian Charities and Not-for-profits Commission (ACNC).
This measure aims to bolster trust in the tax system by ensuring that only qualified NFP organisations benefit from tax concessions. The lodgment requirement begins in the 2023-2024 fiscal year, with submissions due from 1 July 2024 to 31 October 2024. Entities that balance early are advised to wait until the self-review return is accessible in July 2024 before commencing preparation.
What we know about the NFP self-review return so far
The ATO, in consultation with the Not-For-Profit sector, has crafted a return and administrative framework. The self-return process will:
- Be straightforward to prepare
- Contain questions akin to those found in current self-review worksheets
- Assist NFP organizations in assessing their purpose and activities against the specific eligibility criteria for income tax exemption
- Exclude financial queries, except for an estimated income bracket to ascertain the organization's size.
Returns must be submitted digitally via the ATO's Online Services for Business (OSB), or through Online Services for Agents (OSfA) if a tax agent is employed.
Penalties consistent with the ATO's standard penalty regime may be imposed on organizations that are obligated to lodge but fail to do so promptly. Future non-compliance with lodging an annual self-review return may disqualify an NFP organization from income tax exemption eligibility.
What should your organisation do to prepare for the lodgement?
To prepare for self-review annual return lodgement, NFP organisations should:
- Ensure the organisation’s ABN details are up to date
- Ensure myGovID and RAM authorisation have been established for OSB
- Consider whether to appoint a tax agent
- Locate and review the organisation’s governing documents and identify the substantive provisions
- Continue to review the organisation’s purpose, obligations, and activities for compliance with the purpose
- Consider the categories of Division 50 under which the NFP considers itself to be covered
- Understand the compliance conditions attached to the category
- Review the existing income tax status worksheet for self-assessing Not-For-Profit organisations introduced by the ATO.
Disclaimer: This does not purport to be comprehensive or to render legal advice. You should not act based on any information contained in this publication without first obtaining specific professional advice. Consult your legal advisor to determine if this applies to you.
