Don Farrell (SA, Australian Labor Party, Shadow Special Minister of State) Share this | Link to this | Hansard source

by leave—I move opposition amendments (1) to (3) on sheet 1037 together.

(1) Clause 2, page 1 (line 7) to page 2 (line 6), omit the clause, substitute:

2 Commencement

(1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

  Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.

(2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.

(2) Schedule 1, heading to Part 1, page 3 (lines 3 and 4), omit the heading, substitute:

Part 1—Amendments relating to gifts

(3) Schedule 1, heading to Part 2, page 13 (line 1), omit the heading, substitute:

Part 2—Amendments relating to voting and scrutiny processes

This amendment seeks to delay the commencement of the bill until 1 December 2020. Currently the bill has different commencement dates for different provisions. The amendment will allow for a simplified starting date for the entire bill. Delaying the start date until 1 December will allow the AEC and the parties to familiarise themselves with the new regime and ensure that they have their compliance systems in place. In addition, there are state jurisdictions that are currently undergoing state or local government elections. It's always important to ensure that electoral changes do not confuse voters or entities. As such, a starting date later in the year lessens the risk of confusion.

Mathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Link to this | Hansard source

The government supports those amendments. The intention was never to have any impact on the conduct of state elections in Queensland or anywhere else. This is about keeping arrangements for federal elections and state elections appropriately separate. From that point of view, the government is comfortable supporting the amendment.

Larissa Waters (Queensland, Australian Greens) Share this | Link to this | Hansard source

[by video link] I rise to make some brief remarks about the amendments moved by Senator Farrell. Given we think the bill itself is bad, we don't oppose delaying its commencement so we, too, will support the amendments.

Rex Patrick (SA, Centre Alliance) Share this | Link to this | Hansard source

I am on the record as supporting the amendment.

Question agreed to.

Larissa Waters (Queensland, Australian Greens) Share this | Link to this | Hansard source

[by video link]by leave—I move Greens amendments (1) to (3) on sheet 1002 together.

(1) Schedule 1, page 3 (after line 8), after item 1, insert:

1A Subsection 287(1) (definition of disclosure threshold )

  Omit "$13,800", substitute "$1,000".

1B Subsection 287(1) (note to the definition of disclosure threshold )

  Repeal the note.

(2) Schedule 1, page 9 (after line 6), after item 26, insert:

26A After subsection 305A(1A)

  Insert:

     (1B) An amount prescribed for the purposes of paragraph (1)(b) or (1A)(b) must not be more than the disclosure threshold.

(3) Schedule 1, items 32 and 33, page 11 (lines 11 to 17), omit the items, substitute:

32 Section 321A

  Repeal the section.

The effect of these amendments would be to reduce the federal disclosure threshold of political donations down to $1,000. It was originally $13,500 but it's indexed, so at the moment you can donate just shy of $14,300 to a federal political party for a federal purpose and you don't need to tell anybody about it; it's absolutely opaque. Donations just shy of the disclosure threshold are routinely made, and the public doesn't have the ability to hear about them. This amendment would repeat many amendments over the years that many experts and, in fact, other political parties have moved to reduce that threshold of disclosure down to $1,000.

The public should know who is donating to political parties. Political parties should own up to who is paying for their re-election campaigns. This is a very straightforward transparency and accountability measure. The federal disclosure threshold has been too high since the days when John Howard was Prime Minister and it is about time it was dropped back down to a level where the public knows who is paying for who.

In Queensland, my home state, we have a disclosure threshold under our state laws of $1,000. That has not proved onerous from an administrative perspective to comply with, and we don't think there's any justification for retaining that significantly too-high disclosure threshold that the federal laws enshrine. These amendments would reduce that threshold down to $1,000.

I thank the crossbench in advance who've let me know that they will be supporting this amendment. I haven't heard back from Labor, but of course they've got their own private member's bill to this effect and they had a second reading amendment as well—a bit of a departure there if they didn't vote for this. I'm hopeful that we will see this amendment pass shortly.

Mathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Link to this | Hansard source

The government will oppose this amendment. It will reduce the disclosure threshold from $14,300 to $1,000. It would also abolish indexation of the disclosure threshold, which would effectively mean that the threshold would shrink in real terms over time due to inflation.

Amanda Stoker (Queensland, Liberal Party) Share this | Link to this | Hansard source

Senator Waters, on a point of order.

Larissa Waters (Queensland, Australian Greens) Share this | Link to this | Hansard source

[by video link] I have not moved the amendments that abolish the indexation, so they are not before the chair.

Amanda Stoker (Queensland, Liberal Party) Share this | Link to this | Hansard source

On the point of order, Senator Cormann?

Mathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Link to this | Hansard source

I'm not talking to the point of order; I'm just talking to the issue and to all of the amendments in front of us as I've done in previous debates and as is widely practised.

The Greens amendment will mean more red tape for individual Australians who would like to participate in the democratic processes, including by making financial contributions to their party of choice or the member or candidate that they would like to support. It would deter political participation and, even worse, this badly drafted amendment would reclassify numerous very small organisations as third-party campaigners if they spent more than $1,000 in a year on electoral expenses. This change would drag numerous not-for-profit and charitable organisations under the reporting rules for third party. This could sweep up tiny groups like neighbourhood associations, RSL branches, footy clubs and other small players who comment favourably or critically on federal politics. This would be the effect of the amendment because, under the Electoral Act, if someone spends more than the disclosure threshold they get categorised as a third party and face more burdensome reporting and disclosure obligations—namely, they have to make annual returns and appear on the Transparency Register.

The current threshold of $14,300 is set at the appropriate level to balance facilitating political participation while also facilitating and ensuring appropriate levels of openness and transparency. But $1,000 clearly is not.

This extreme change proposed by the Greens in the reporting arrangements has not been discussed with the charitable or not-for-profit sector as far as we are aware. The bad drafting of these amendments may be unintentional, but the Greens made exactly the same drafting error when they moved similar amendments back in 2013. I pointed out those errors then, but here we are again with the same, obviously, very badly drafted amendments in the same form.

Don Farrell (SA, Australian Labor Party, Shadow Special Minister of State) Share this | Link to this | Hansard source

I'd like to make one comment by way of clarification to the leader of the Greens. To the best of my knowledge and to the best of the knowledge of my office, we've not actually received your amendments in a way where you have requested a response. I make this offer to Senator Waters that, if you choose to send us your amendments, we are very happy at all times to respond.

As you'd be aware, Labor already has a bill before the Senate that seeks to achieve the changes proposed by this amendment but we don't support this amendment being made as part of this particular package. Based on our consultation on the not-for-profit sector with the charities, following the implementation of the ban on foreign donations, we understand that, although we would like to see this change as soon as possible, non-political entities who engage in the creation of electoral matters require further consultation and communication and time to adapt their systems. This is something that they stressed very strongly to us when we fought successfully to establish the ban on foreign donations, and it would be remiss of this parliament not to listen to the concerns of those stakeholders.

Rex Patrick (SA, Centre Alliance) Share this | Link to this | Hansard source

Minister, I've got just a couple of questions in relation to this. You talked about the burden this places on people who wish to make a donation. Can you articulate exactly what that burden is for someone who wants to make a donation that is below the threshold and how that might deter people from making a donation?

Mathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Link to this | Hansard source

I would refer you to section 314AEB of the Commonwealth Electoral Act, which sets out all the requirements that would be imposed on third parties in these circumstances, including the penalties that would apply.

Rex Patrick (SA, Centre Alliance) Share this | Link to this | Hansard source

So, Minister, I'm putting to you that the burden is not significant in a balance of effort required versus the public interest in the disclosure. Senator Waters indicated that in Tasmania, for example, this is not a problem. Has the government looked at other jurisdictions to see exactly how any such burden would affect people who want to donate to a political party?

Mathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Link to this | Hansard source

Well, I've got to strongly disagree with you, Senator Patrick, and this is not just a theoretical disagreement; this is a very practical disagreement. Much larger not-for-profit organisations that were getting captured by the initial draft of the ban on foreign political donations and the increased disclosure reporting requirements were very concerned about the level of red tape it would impose on them. The level of red tape on smaller not-for-profits that would inevitably be captured through this Greens amendment would be entirely disproportionate and would not be appropriately balanced. We are absolutely in favour of appropriate balancing facilitating political participation by all while also of course pursuing the public interest in disclosure. But we believe the current arrangements appropriately balance those requirements and what is in front of us does not.

Rex Patrick (SA, Centre Alliance) Share this | Link to this | Hansard source

So, say, I'm in a position to make a donation of $2,000 to a political party, how would the burden differ between someone who was making a $2,000 donation and someone who was making a $15,000 donation? I note that it might simply be an individual. I'm just trying to understand what pushes someone across a line in terms of not making a donation.

Mathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Link to this | Hansard source

Obviously businesses that are making larger donations are likely to be larger organisations that have the capacity to comply with annual return and other requirements, whereas if you are a small volunteer not-for-profit or if you are a smaller organisation that doesn't have the same resources to deal with all the additional reporting requirements that would come with getting captured by this then that would make it disproportionate. That is certainly the feedback we've had from not-for-profits. In the end, nobody's arguing against the need for disclosure. It's just about making sure we capture disclosure in reporting requirements with organisations of an appropriate size and with donations of an appropriate size.

Rex Patrick (SA, Centre Alliance) Share this | Link to this | Hansard source

I want to speak to Labor's comments about having a private member's bill that seeks to do the same thing and therefore not wanting to support this particular bill. I think everyone who's listening needs to understand that private member's bills rarely get up. They're used to put pressure on governments to do particular things, to enable debate or to enable committee work in relation to particular policies or laws. No-one should pretend that when a bill that comes through the Senate that is a government bill and that will eventually go back to the House, if it is amended here, and be passed into law it will be ignored because you have a private member's bill up. It seems to be disingenuous to make a statement that you are in support of this but you want to have it up in your own private member's bill. That's the method by which you wish to seek the change. Labor has an opportunity here to implement something that it purportedly agrees with but is simply not prepared to back. I think people should at least appreciate that.

I'd also like to go back to a discussion that I was having with Senator Cormann prior in relation to this bill. I did ask Senator Cormann a whole range of questions about his personal circumstance in terms of dinners that he might have attended and so forth. I want to make it very clear to the chamber that I was not directing that at Senator Cormann in any other way than in acknowledgement of the fact that Senator Cormann is not in a position to answer this question for other ministers. I am of the understanding that all ministers do it. I was simply restricting my questions to the minister at the table in appreciation of the fact that he has knowledge of his own affairs. I wasn't suggesting or in any way seeking to single him out.

Larissa Waters (Queensland, Australian Greens) Share this | Link to this | Hansard source

[by video link] I'll address a number of the issues that have been raised in the last little while. The amendments were circulated last night, and I would hope folks have taken the opportunity to read the amendments that the chamber is now debating, so I was a bit confused by Senator Farrell's remark there. I take issue with what Senator Cormann said; the intention of these amendments is to lower the disclosure threshold so that members of the public can see who is donating to political parties. There is no other intention but that. I might point out that the drafting in these amendments mirror the drafting, I'm told, of Labor's own private member's bill which seeks to do the same thing. So I wasn't quite clear from Senator Farrell's contribution as to whether or not his party will be voting for the amendments that they have their own legislation for in exactly the same drafting format or not, but we'll find out in just a minute. I wanted to disabuse anyone who might be listening because they haven't got anything better to do at this time of night that the intention of these amendments is simply to improve transparency and to ensure that people know who's donating to political parties, as I believe is their right to know.

David Fawcett (SA, Liberal Party) Share this | Link to this | Hansard source

The question is that Australian Greens amendments (1) to (3) on sheet 1002 be agreed to.

Larissa Waters (Queensland, Australian Greens) Share this | Link to this | Hansard source

[by video link] The Greens oppose schedule 1 in the following terms:

(4) Schedule 1, item 34, page 12 (lines 2 to 4), subitem (4) to be opposed.

(5) Schedule 1, item 34, page 12 (lines 18 to 20), subitem (6) to be opposed.

Senator Cormann will be pleased to know that these amendments are the ones about indexation, so he can give us the spiel about how that's so very bad, which we all can't wait to hear. These amendments would remove indexation of the federal disclosure threshold. It started off at $13,200 and it's just progressively increased over the years. It's now up to $14,300. It makes a mockery of having a disclosure threshold. These amendments would say that you can't index the disclosure threshold. I commend them to the chamber.

David Fawcett (SA, Liberal Party) Share this | Link to this | Hansard source

The question is that subitems (4) and (6) in item 34 of schedule 1 stand as printed.

Larissa Waters (Queensland, Australian Greens) Share this | Link to this | Hansard source

[by video link] by leave—I move Greens amendments (1) to (4) on sheet 1038 together:

(1) Schedule 1, item 57, page 18 (after line 25), after subsection 200DI(1), insert:

(1A) Nothing in subsection (1) shall authorise a voting officer to require a person attending before the voting officer to produce any document to verify the information in paragraphs (1)(a) and (b).

(2) Schedule 1, item 82, page 21 (after line 26), after subsection 229(1), insert:

(1A) Nothing in subsection (1) shall authorise a presiding officer or voting official to require a person attending before the officer or official to produce any document to verify the information in paragraphs (1)(a) and (b).

(3) Schedule 1, item 156, page 33 (after line 20), after subsection 30(1), insert:

(1A) Nothing in subsection (1) shall authorise a presiding officer or voting official to require a person attending before the officer or official to produce any document to verify the information in paragraphs (1)(a) and (b).

(4) Schedule 1, item 207, page 39 (after line 9), after subsection 73CI(1), insert:

(1A) Nothing in subsection (1) shall authorise a voting officer to require a person attending before the voting officer to produce any document to verify the information in paragraphs (1)(a) and (b).

These amendments put beyond doubt that voter ID should not be a slippery slope towards voter ID at the polls. In dissenting reports to the 2016 JSCEM election review, both my party and the Labor Party noted that the government's claims of double voting and voter irregularity were actually not substantiated and were unsupported by the evidence. In Australia and internationally, the evidence supports the view that voter ID in fact suppresses and hinders citizen participation. Requiring voters to show formal identification documents risks disenfranchising First Nations people, family violence victims, young people without a driver's licence or homeless and itinerant people. The Electoral Commission has said that up to 1.5 per cent of new enrolments could be people without formal ID.

I note that my home state of Queensland introduced voter ID laws before the 2015 election and, after a low voter turnout, the laws were repealed. The AEC has previously said that adopting voter ID would involve:

… significant start-up and on-going costs; voter inconvenience; possible disenfranchisement of a number of voters; and possible delays in the delivery of election results because of an increase in the level of declaration voting.

Many of the Electoral Commission staff are employed casually at elections, and we note the ALP's recommendation that casual staff training make it clear that they cannot ask for ID. Our proposed amendments simply confirm that position.

There's something a little bit odd in making voting compulsory and then fining people who don't vote but, at the same time, making it harder for them to vote. So we support making the questions used to establish a voter's identification more flexible, and this would assist migrants or people with low literacy. Our amendments simply seek to ensure that this flexibility is not used to introduce the government's long-coveted plan for voter ID—I refer to the remarks made earlier today about the excitement that the government showed when they thought that they might get support for bringing voter ID in down the track. This parliament should not take any step that would have the effect of reducing the number of Australians participating in our democracy. I commend these amendments to the chamber.

Mathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Link to this | Hansard source

Firstly, I don't quite understand how somehow it is inconsistent to have compulsory voting and voter ID requirements to ensure the integrity of the voting process when there are about 20 jurisdictions in the world that have got compulsory voting—including the jurisdiction in which I was born, where I grew up and first exercised my right to vote. And, let me tell you, we had to show our identification card before we were able to vote, and that was not in any way problematic. The government, of course, is on the record as saying that we support voter identification as a way to manage the risk of multiple voting, which I have absolutely no doubt has occurred over the years and throughout history.

Having said all of that, this bill actually doesn't come anywhere near, in any way, shape or form, introducing voter ID requirements; in fact, the bill does the opposite. This bill allows greater flexibility for polling officials about how they can word the three mandatory questions before they hand out a ballot paper. This is intended to particularly help the AEC communicate with voters who face language barriers or disability issues. The three questions are about name, address and whether someone has voted previously in the same election—reasonable questions, I would have thought. Nowhere in the bill is there any new fourth question permitting an official to ask a voter for ID documents.

So, on that basis, this is an entirely superfluous amendment. The amendment is based on a totally factually incorrect reading of the bill and an incorrect understanding of the Electoral Act. The amendment is partly predicated on an assumption that the AEC will do a poor job of training its staff, including senior officers, at each booth. We think it is not required and the government will oppose this amendment.

Don Farrell (SA, Australian Labor Party, Shadow Special Minister of State) Share this | Link to this | Hansard source

Labor shares the concerns regarding the implementation of so-called voter ID laws and any amendments which would discourage voting and undermine our system of compulsory voting. We are assured, however—and we will be seeking further assurance from the Electoral Commissioner—that the amendments contained in the bill will not result in a polling official demanding identification. We therefore do not believe the change proposed by the Greens is necessary and will not be supporting the amendment.

David Fawcett (SA, Liberal Party) Share this | Link to this | Hansard source

The question is that Australian Greens amendments (1) to (4) on sheet 1038 be agreed to.

Jacqui Lambie (Tasmania, Jacqui Lambie Network) Share this | Link to this | Hansard source

by leave—I move Jacqui Lambie Network amendments (1) to (3) on sheet 8985 revised together:

(1) Schedule 1, item 2, page 3 (lines 11 and 12), omit the definition of federal purpose in subsection 287(1).

(2) Schedule 1, item 2, page 3 (lines 23 to 27), omit the definition of regulated entity in subsection 287(1).

We also oppose items 25 to 27 and 34 of schedule 1 in the following terms:

(4) Schedule 1, items 25 to 27, page 7 (line 27) to page 10 (line 18), to be opposed.

(5) Schedule 1, item 34, page 11 (lines 23 to 31), subitems (2) and (3), to be opposed.

Mathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Link to this | Hansard source

The government oppose these amendments. The government amendments comprehensively and fairly deal with the interactions between Commonwealth, state and territory laws. These amendments would remove those changes from the bill, allowing state and territory laws to apply to federal donations at the same time as Commonwealth laws applied, hence defeating the entire purpose of the legislation in front of the Senate. If the government's amendments had not been made there would be ambiguity for regulated entities. Duplication of laws in relation to the same financial transactions would be unnecessary where a donation was spent on federal electoral purposes only, so a double-up of legal obligations would cause confusion and uncertainty. Uncertainty would continue to mean a dispute over the correct legal treatment would be taken to the courts. This has already happened once. It would mean different people complying with different laws during the same federal election, based on which corner of the country they resided in. It would mean complexity when the AEC was trying to give guidance to the public and, indeed, would make our electoral arrangements at a federal level nationally inconsistent.

Don Farrell (SA, Australian Labor Party, Shadow Special Minister of State) Share this | Link to this | Hansard source

Labor welcome the debate on Senator Lambie's amendments. We've been talking to her since 8.30 this morning about some of these issues. We particularly welcome the senator's commitment to improving transparency and the integrity of the Commonwealth donations regime. However, we won't be voting for the amendments as we are of the firm view that the Commonwealth parliament should be able to make laws in relation to the conduct of Commonwealth elections without those laws being overridden by the states. If sections 302CA and 314B are repealed then it leaves open the potential for foreign donations to be funnelled through state branches and to avoid the Commonwealth ban on donations from foreign actors. Further, it will mean that there will be no uniformity in the treatment of federal parties and candidates. Rather, they will be governed by the laws of eight different states and territories. This is not a position we can accept.

What we must strive towards is a better Commonwealth funding and disclosure regime. Labor's bill currently before the Senate, which would lower the donations threshold from $14,300 indexed to inflation to a fixed $1,000, and the introduction of a system of real-time disclosure would immediately provide greater transparency of those who are seeking to influence our elections. Further proposed reforms of donations and expenditure caps, increasing the rate of public funding and introducing administrative funding for parties and elected Independents would reduce parties' reliance on donations and improve the integrity of the system. Labor will continue to pursue these reforms and we look forward to working with Senator Lambie to achieve them.

Larissa Waters (Queensland, Australian Greens) Share this | Link to this | Hansard source

[by video link] I indicate that the Greens will be supporting these amendments.

David Fawcett (SA, Liberal Party) Share this | Link to this | Hansard source

We will be doing this in two parts. First, the question is that items 25 and 27 and subitem 3 in item 34 of schedule 1 as amended be agreed to and item 26 and subitem 2 in item 24 of schedule 1 stand as printed.

Question agreed to.

The TEMPORARY CHAIR: The second part of this now is in relation to amendments (1) and (2) on sheet 8985. The question is that amendments (1) and (2) on sheet 8985 be agreed to.

Question negatived.

Jacqui Lambie (Tasmania, Jacqui Lambie Network) Share this | Link to this | Hansard source

I move amendment (3) on sheet 8985:

(3) Schedule 1, page 7 (after line 26), after item 24, insert:

24A Section 302CA

Repeal the section.

24B Section 314B

Repeal the section.

Larissa Waters (Queensland, Australian Greens) Share this | Link to this | Hansard source

[by video link] I'm happy to say a few words about that, but I don't want to butt in, in case there's anybody else wanting to do so. I can't see the chamber, so I'm not sure if I'm butting in.

The TEMPORARY CHAIR: If you debate this, we are compelled to have a four-minute division. If you don't debate it, we can have a one-minute division. It's your call, Senator Waters.

I'm not sure I'd classify it as a debate, but I do wish to make a few remarks about the substance of the amendment. If I can confirm it, we're speaking to amendment (3) on sheet 8985, which repeals the head sections 302CAand 314B of the Commonwealth Electoral Act. I think that's the one we're at.

The TEMPORARY CHAIR: That is correct.

It's a bit different when you're not there in person; I apologise. Essentially, my understanding of the effect of these amendments is that they would close the back door that the government are, in my view—a view they don't share—seeking to establish. It is a back door enabling them to continue to donate to state parties, albeit into a separate bank account, from donors that would be prohibited from donating to that state party were they operating under state laws. It all gets a little bit meta, but I made some remarks earlier today about my concern that there is a very cosy relationship between donors that will not be stopped from donating to state parties.

What I want to put to the chamber are some excellent remarks that were made on this very point by, of all people, the Queensland Labor Party in their submission to the JSCEM inquiry. They put it in a more cogent way than I have. You can't win them all! They say:

Simply asserting a donation is for federal purposes does not insulate a state party, or the state candidates it endorses, from corruption risks.

The point they're making is, where you've got federated parties and you've got state organisations like, I believe, the LNP, which organises themselves in Queensland, a property developer will be able to donate to the state LNP; it just goes to a separate bank account, and that's permissible even though that same donor is not allowed to donate to that same party if we are in a state context. It's an artificial distinction, and our view is that the creation of this separate bank account does not properly insulate the cosiness and the sense of obligation, if you like, from the state party back to that donor. That is exactly why we want to clean up donations. That is why, when we come to the remaining Greens amendments, we will move to ban donations from people like property developers, big mining, big pharma and a number of others that I will regale you all with when the time comes. We don't think you can insulate a political party from that influence—particularly not where you've got a federated structure like we now know that the LNP does. So that is why we will be supporting these amendments. Senator Lambie's very welcome to correct me if I'm mistaken about the effect of her amendments, but that is my understanding of the effect of her amendments, and we, on that basis, support them.

Question negatived.

Jacqui Lambie (Tasmania, Jacqui Lambie Network) Share this | Link to this | Hansard source

by leave—I move Jacqui Lambie Network amendments (1) and (2) on sheet 8976 together:

(1) Clause 2, page 2 (at the end of the table), add:

(2) Page 45 (after line 20), at the end of the Bill, add:

Schedule 3—Disclosing gifts

Commonwealth Electoral Act 1918

1 Subsection 17(2A)

Omit "under subsection 305A(1) or (1A) in relation to that election", substitute "under section 305A".

2 Subsection 287(1) (definition of disclosure threshold )

Omit "$13,800", substitute "$2,500".

3 Subsection 287(1) (definition of gift )

Repeal the definition, substitute:

gift has the meaning given by section 287AAA.

4 Subsection 287(1)

Insert:

post -trigger gift has the meaning given by section 305C.

reporting entity means any of the following:

  (a) a political entity;

  (b) a political campaigner;

  (c) an associated entity;

  (d) a third party.

reporting period means a period of 6 months beginning on 1 January or 1 July in each year.

trigger gift has the meaning given by section 305B.

5 After section 287

Insert:

287AAA Meaning of gift

(1) A gift is any disposition of property made by a person to another person, being a disposition made without consideration in money or money's worth or with inadequate consideration.

(2) The provision of a service (other than volunteer labour) for no consideration or for inadequate consideration is a gift.

(3) An amount paid by a person or entity as a contribution, entry fee or other payment to entitle that or any other person or entity to participate in or otherwise obtain any benefit from a fundraising venture or function (being an amount that forms part of the gross proceeds of the venture or function) is a gift.

(4) An annual or other subscription paid to a registered political party by:

  (a) a member of the party; or

  (b) a person or entity for affiliation with the party;

is a gift.

(5) An annual or other subscription paid to an associated entity by:

  (a) a member of the associated entity; or

  (b) a person or entity for affiliation with the associated entity;

is a gift.

(6) Each of the following is taken not to be a gift:

  (a) a payment under Division 3;

  (b) any visit, experience or activity provided for the purposes of a political exchange program.

6 Section 302V

Repeal the section, substitute:

302V Simplified outline of this Division

This Division requires candidates and members of groups in an election who receive gifts to disclose the gifts by providing a return to the Electoral Commission.

This Division sets out the requirements for returns in relation to gifts made to, and received by, reporting entities.

Returns provided under this Division are published by the Electoral Commissioner, on the Transparency Register, under section 320.

There are limitations on loans made to political parties, State branches, political campaigners, candidates or groups that are more than the disclosure threshold.

Gifts of more than the disclosure threshold to a reporting entity by a corporation that is wound up within a year of making the gift may be recovered from the gift recipient.

7 Sections 305A and 305B

Repeal the sections, substitute:

305A Donations to, and received by, reporting entities

(1) If a person or entity makes a trigger gift or post-trigger gift to a reporting entity during a reporting period, the person or entity must provide a return for the gift in accordance with this section.

Civil penalty:   60 penalty units.

(2) If a reporting entity receives a trigger gift or post-trigger gift from a person or entity during a reporting period, the agent or financial controller of the reporting entity must provide a return for the gift in accordance with this section.

Civil penalty:   60 penalty units.

(3) However, subsections (1) and (2) do not apply in relation to a gift made to a reporting entity that:

  (a) is a third party or a political campaigner; and

  (b) is registered under the Australian Charities and Not-for-profits Commission Act 2012.

(4) The return must be:

  (a) provided to the Electoral Commission through the AEC Disclosure Portal; and

  (b) provided within 7 days after the trigger gift or post-trigger gift is made or received (as the case may be); and

  (c) in the approved form.

(5) If the return relates to:

  (a) a trigger gift within the meaning of subsection 305B(1); or

  (b) a post-trigger gift;

the return must set out the following:

  (c) the amount of the gift;

  (d) the date on which the gift was made or received (as the case may be);

  (e) the name and address of:

     (i) the person or entity that made the gift; and

     (ii) the reporting entity that received the gift.

(6) If the return relates to a trigger gift within the meaning of subsection 305B(2), the return must set out the following:

  (a) the sum of the following gifts:

     (i) the trigger gift;

     (ii) all gifts made to, or received by, the reporting entity during the reporting period before the trigger gift;

  (b) the date on which each gift to which paragraph (a) applies was made or received (as the case may be);

  (c) the name and address of:

     (i) the person or entity that made the gifts; and

     (ii) the reporting entity that received the gifts.

(7) The return required under subsection (1) must set out the relevant details of any gift received by the person or entity at any time if the gift was used wholly or partly to make another gift during the reporting period to a reporting entity.

(8) Relevant details for the purpose of subsection (7), in relation to a gift, are:

  (a) the amount or value of the gift; and

  (b) the date on which the gift was made; and

  (c) in the case of a gift made on behalf of the members of an unincorporated association, other than a registered industrial organisation:

     (i) the name of the association; and

     (ii) the names and addresses of the members of the executive committee (however described) of the association; and

  (d) in the case of a gift purportedly made out of a trust fund or out of the funds of a foundation:

     (i) the names and addresses of the trustees of the fund or of the funds of the foundation; and

     (ii) the title or other description of the trust fund or the name of the foundation, as the case requires; and

  (e) in any other case—the name and address of the person or entity.

305B Meaning of trigger gift

(1) A gift made by a person or entity during a reporting period is a trigger gift if the gift is more than the disclosure threshold.

(2) A gift made by a person or entity to a reporting entity during a reporting period is also a trigger gift if all of the following apply:

  (a) the person or entity makes one or more other gifts (each a pre-trigger gift) to the reporting entity during the period;

  (b) the amount or value of each pre-trigger gift made by the person or entity to the recipient during the period is less than or equal to the disclosure threshold;

  (c) both of the following apply to the gift made by the person or entity:

     (i) the person or entity makes the gift during the period after making the pre-trigger gifts;

     (ii) when the amount or value of the gift is considered with the amount or value of the pre-trigger gifts, the total amount or value of the gifts is more than the disclosure threshold.

(3) For the purposes of subsection (2), a gift does not include:

  (a) a permitted anonymous gift by the person or entity; or

  (b) a gift with a value of $100 or less.

305C Meaning of post -trigger gift

  A gift made by a person or entity to a reporting entity during a reporting period is a post-trigger gift if:

  (a) the person or entity has made a trigger gift during the period; and

  (b) neither of the following apply:

     (i) the gift is a permitted anonymous gift by the person or entity;

     (ii) the gift is a gift with a value of $100 or less.

8 Paragraph 306B(1)(a)

Repeal the paragraph, substitute:

  (a) a reporting entity receives from a corporation a gift whose amount or value is more than the disclosure threshold; and

9 Paragraph 306B(2)(a)

Omit "a registered political party or a political campaigner (the gift recipient)", substitute "a reporting entity (the gift recipient) that is a registered political party or a political campaigner".

10 Paragraph 306B(2)(b)

After "benefit of", insert "a gift recipient that is".

11 Subparagraph 316(2A)(aaa)(i)

Repeal the subparagraph.

12 Subsection 320(1) (table item 4)

Repeal the item, substitute:

13 Subsection 321A(3)

Repeal the subsection.

14 Section 321B (subparagraphs (g)(i) and (ii) of the definition of disclosure entity )

Omit "or 305B".

15 Section 321B (note to paragraph (g) of the definition of disclosure entity )

Repeal the note.

Schedule 4—AEC Disclosure Portal

Commonwealth Electoral Act 1918

1 Subsection 287(1)

Insert:

ADI means an authorised deposit-taking institution within the meaning of the Banking Act 1959.

AEC Disclosure Portal means the system established under subsection 302AB(1).

disclosure and reporting purpose: see section 302AE.

electoral expenditure account, in relation to a reporting entity, has the meaning given by subsection 302AF(1).

electoral expenditure amount: see section 302AD.

electoral expenditure purpose: see section 302AD.

2 After Division 3 of Part XX

Insert:

Division 3AA—AEC Disclosure Portal

302AA Simplified outline of this Division

This Division establishes the AEC Disclosure Portal.

The AEC Disclosure Portal is to be used for providing returns to the Electoral Commission.

The AEC Disclosure Portal is also to be the exclusive means by which a reporting entity receives amounts for the entity to pay for its electoral expenditure (including amounts that are political donations and anonymous donations).

A reporting entity must establish an electoral expenditure account to receive amounts through the AEC Disclosure Portal.

This Division also sets out certain other requirements for reporting entities when it comes to electoral expenditure.

302AB Electoral Commissioner must establish the AEC Disclosure Portal

(1) The Electoral Commissioner must establish and maintain a system known as the AEC Disclosure Portal.

(2) The AEC Disclosure Portal has the following purposes:

  (a) the electoral expenditure purpose;

  (b) the disclosure and reporting purpose;

  (c) any other purposes prescribed for the purposes of this paragraph.

(3) The regulations may make provision for, or in relation to, any matter that relates to a purpose prescribed for the purposes of paragraph (2)(c).

302AC Regulations for establishment, performance and administration of the AEC Disclosure Portal

(1) The regulations may make provision for, or in relation to the establishment, performance and administration of the AEC Disclosure Portal.

(2) Without limiting subsection (1), the regulations may make provision for or in relation to any or all of the following:

  (a) the creation of unique profiles for persons or entities that use the AEC Disclosure Portal;

  (b) the ability for persons or entities to submit returns required under Division 4, 5 or 5A to the Electoral Commission by using the AEC Disclosure Portal.

302AD Electoral expenditure purpose of the AEC Disclosure Portal

(1) A purpose (the electoral expenditure purpose) of the AEC Disclosure Portal is to establish a platform that does the following:

  (a) provides the exclusive means by which a person or entity provides an amount (an electoral expenditure amount) to a reporting entity to pay for the entity's electoral expenditure;

  (b) provides the exclusive means by which a reporting entity receives electoral expenditure amounts for the reporting entity to pay for its electoral expenditure.

(2) The regulations may make provision for, or in relation to, any matter that relates to the electoral expenditure purpose.

(3) Without limiting subsection (2), the regulations may do any or all of the following:

  (a) set out the information that persons or entities providing electoral expenditure amounts are required to provide;

  (b) provide for the establishment of accounts electoral expenditures amounts are credited to;

  (c) set out what information reporting entities need to provide to the Electoral Commission to receive electoral expenditure amounts provided through the AEC Disclosure Portal;

  (d) set out how electoral expenditure amounts are to be transferred to reporting entities;

  (e) set out circumstances in which electoral expenditure amounts are to be returned to the person or entities who have provided such amounts;

  (f) set out circumstances in which the Electoral Commission may recover electoral expenditure amounts transferred to reporting entities.

302AE Disclosure and reporting purpose of the AEC Disclosure Portal

(1) A purpose (the disclosure and reporting purpose) of the AEC Disclosure Portal is to establish a platform that allows for information relating to reporting entities to be accessible to the public.

(2) The regulations may make provision for, or in relation to, any matter that relates to the disclosure and reporting purpose.

302AF Reporting entity must establish electoral expenditure account etc.

(1) The agent or financial controller of a reporting entity must establish and maintain a single account (the electoral expenditure account) with an ADI.

(2) The agent or financial controller of a reporting entity must ensure the entity does not make a payment to a person or entity relating to electoral expenditure incurred or to be incurred for the reporting entity's benefit unless:

  (a) the payment is made by directly transferring an amount from the electoral expenditure account to the person or entity; and

  (b) the payment is recorded on the account as being a payment to the person or entity for electoral expenditure incurred or to be incurred for the reporting entity's benefit.

(3) The agent or financial controller of a reporting entity must ensure that the only amounts transferred to the reporting entity's electoral expenditure account are from the Electoral Commission (see section 302AG).

(4) The agent or financial controller of a reporting entity must provide the following details about the electoral expenditure account to the Electoral Commission:

  (a) the account number;

  (b) the BSB number of the account;

  (c) the name in which the account is held;

  (d) the name of the ADI that holds the account.

(5) The agent or financial controller of a reporting entity must take steps to ensure the Electoral Commission is provided, as soon as reasonably practicable after the end of a calendar month, information setting out any transactions relating to the entity's electoral expenditure account that occurred over that month.

(6) The agent or financial controller of a reporting entity must not contravene subsection (1), (2), (3), (4) or (5).

Civil penalty:   300 penalty units.

302AG Electoral Commission to transfer electoral expenditure amounts to electoral expenditure account

  If:

  (a) an electoral expenditure amount is provided to the Electoral Commission through the AEC Disclosure Portal for a reporting entity; and

  (b) the electoral expenditure amount satisfies the requirements (if any) specified in regulations in relation to such an amount;

the Electoral Commission must transfer the amount to the reporting entity's electoral expenditure account.

Schedule 5—Reforming returns

Commonwealth Electoral Act 1918

1 Division 5A of Part XX

Repeal the Division, substitute:

Division 5A—Returns by reporting entities

314AAA Simplified outline of this Division

A reporting entity is required to provide a return covering certain matters that occurred during a reporting period. The return must be provided to the Electoral Commission within a month after the end of the reporting period.

The Electoral Commission must cause a report to be prepared for each reporting entity within 3 months after the end of a reporting period. The report covers certain matters relating to the reporting entity during the reporting period. The report must be accessible on the AEC Disclosure Portal.

314AA Interpretation

(1) In this Division:

amount includes the value of a gift or loan.

(2) To avoid doubt, a person or entity that becomes, or ceases to be, a reporting entity during a reporting period is required to provide a return under this Division in relation to the whole reporting period.

Note: Particulars provided under subsection 318(2) may be taken to be a return provided under this Division (see subsection 318(2A)).

314AB Returns by reporting entities

(1) The agent or financial controller of each reporting entity must provide a return in accordance with this section within a month after the end of a reporting period.

Civil penalty:

The higher of the following:

  (a) 120 penalty units;

  (b) if an amount is not disclosed in the return and there is sufficient evidence for the court to determine the amount, or an estimate of the amount, not disclosed—3 times that amount.

(2) The return must be:

  (a) provided to the Electoral Commission through the AEC Disclosure Portal; and

  (b) in the approved form.

(3) The return must set out the following matters:

  (a) the total amount received by, or on behalf of, the entity during the reporting period, together with the details required by section 314AC;

  (b) the total amount paid by, or on behalf of, the entity during the reporting period;

  (c) the total outstanding amount, as at the end of the reporting period, of all debts incurred by, or on behalf of, the entity, together with the details required by section 314AD;

  (d) details of any discretionary benefits (however described) received by, or on behalf of, the entity from the Commonwealth, a State or a Territory during the reporting period.

(4) The regulations may specify other matters a return by a reporting entity, or a class of reporting entity, must set out in relation to a reporting period.

(5) Subsection 93(2) of the Regulatory Powers Act does not apply in relation to a contravention of subsection (1) of this section.

314AC Amounts received

(1) If the sum of all amounts received by, or on behalf of, a reporting entity from a person or organisation during a reporting period is more than the disclosure threshold, the return must (subject to subsections (7) and (8)) include the matters mentioned in subsections (2), (3), (4) and (5).

(2) The return must:

  (a) if the sum was received from an unincorporated association, other than a registered industrial organisation—set out:

     (i) the name of the association; and

     (ii) the names and addresses of the members of the executive committee (however described) of the association; or

  (b) if the sum was purportedly paid out of a trust fund or out of the funds of a foundation—set out:

     (i) the names and addresses of the trustees of the fund or of the foundation; and

     (ii) the title or other description of the trust fund, or the name of the foundation, as the case requires; or

  (c) if the sum was received as a result of a loan—set out the information required to be kept under subsection 306A(3), or the name of the financial institution, as the case requires; or

  (d) in any other case—set out the name and address of the person or organisation.

(3) The return must set out the amount of the sum received from the person or organisation during the reporting period.

(4) The following table has effect in relation to the return:

(5) The return must state an amount of a kind, and any details that relate to that amount, that are specified in an instrument under subsection (6).

(6) The Minister may, by legislative instrument, specify an amount of a kind, and details that relate to that amount, for the purposes of subsection (5).

(7) This section does not apply in relation to an amount if:

  (a) the amount was received by, or on behalf of, a reporting entity that was registered under the Australian Charities and Not-for-profits Commission Act 2012; and

  (b) no part of the amount was used during the reporting period by the reporting entity:

     (i) to enable the entity to incur electoral expenditure, or create or communicate electoral matter; or

     (ii) to reimburse the entity for incurring electoral expenditure, or creating or communicating electoral matter.

(8) This section does not apply in relation to an amount if:

  (a) the amount was received by, or on behalf of, a reporting entity that is a candidate or a member of a group; and

  (b) the amount was received in the reporting entity's personal capacity; and

  (c) no part of the amount was used during the reporting period by the reporting entity:

     (i) to enable the entity to incur electoral expenditure, or create or communicate electoral matter; or

     (ii) to reimburse the entity for incurring electoral expenditure, or creating or communicating electoral matter.

314AD Outstanding amounts

(1) If the sum of all outstanding debts incurred by, or on behalf of, a reporting entity to a person or an organisation during a reporting period is more than the disclosure threshold, the return must include the particulars of that sum.

(2) The particulars of a sum required to be furnished under subsection (1) are the amount of the sum and:

  (a) if the sum was owed to an unincorporated association, other than a registered industrial organisation:

     (i) the name of the association; and

     (ii) the names and addresses of the members of the executive committee (however described) of the association; or

  (b) if the sum was purportedly incurred as a debt to a trust fund or to a foundation:

     (i) the names and addresses of the trustees of the fund or of the foundation; and

     (ii) the title or other description of the trust fund, or the name of the foundation, as the case requires; or

  (c) in any other case—the name and address of the person or organisation.

314AE Returns not to include lists of party membership

  Returns provided in accordance with this Division are not to include lists of party membership.

314AF Electoral Commissioner to publish reports relating to reporting entities

(1) Within 3 months after the end of a reporting period, the Electoral Commissioner must cause a report to be prepared of each reporting entity.

(2) The report must include the following matters for the reporting period:

  (a) the total amount of gifts that the reporting entity received during the reporting period;

  (b) the total amount of gifts that the reporting entity received during the reporting period that were permitted anonymous donations;

  (c) the total amount of gifts that the reporting entity reported in the reporting entity's return for the reporting period;

  (d) the total number of persons or organisations that made gifts to the reporting entity during the reporting period;

  (e) the total amount of amounts other than gifts received by the reporting entity during the reporting period;

  (f) the total amount of income received by the reporting entity during the reporting period;

  (g) the total amount of electoral expenditure incurred by the reporting entity during the reporting period;

  (h) any other matter prescribed by the regulations.

(3) The report must be accessible on the AEC Disclosure Portal as soon as possible after the report has been completed and by no later than 3 months after the end of a reporting period.

2 Subsection 320(1) (table item 5)

Repeal the item, substitute:

Schedule 6—Monitoring and investigation powers

Commonwealth Electoral Act 1918

1 Subsection 287(1)

Insert:

inspector means a person appointed as an inspector under section 314AH.

2 After Division 5A of Part XX

Insert:

Division 5B—Monitoring and investigation powers

314AH Appointment of inspectors

(1) The Electoral Commissioner may, in writing, appoint a person who is a member of the staff of the Electoral Commission as an inspector.

(2) The Electoral Commissioner must not appoint a person as aninspector unless the Electoral Commissioner is satisfied that the person has the knowledge or experience necessary to properly exercise the powers of aninspector.

(3) An inspector must, in exercising powers as such, comply with any directions of the Electoral Commissioner.

(4) If a direction is given under subsection (3) in writing, the direction is not a legislative instrument.

314AJ Monitoring powers for this Part of the Act

Provisions subject to monitoring

(1) A provision is subject to monitoring under Part 2 of the Regulatory Powers Act if it is:

  (a) a provision of this Part; or

  (b) an offence against the Crimes Act 1914 or the Criminal Code that relates to this Act.

Note 1: Part 2 of the Regulatory Powers Act creates a framework for monitoring whether this Act has been complied with. It includes powers of entry and inspection.

Note 2:    Section 316 of this Act sets out additional powers relating to compliance and enforcement.

Information subject to monitoring

(2) Information given in compliance or purported compliance with a provision of this Act is subject to monitoring under Part 2 of the Regulatory Powers Act.

Note: Part 2 of the Regulatory Powers Act creates a framework for monitoring whether the information is correct. It includes powers of entry and inspection.

Related provisions, authorised applicant, authorised person, issuing officer, relevant chief executive and relevant court

(3) For the purposes of Part 2 of the Regulatory Powers Act, as it applies in relation to the provisions of this Act:

  (a) there are no related provisions; and

  (b) the Electoral Commissioner is the authorised applicant; and

  (c) an inspector is an authorised person; and

  (d) a magistrate is an issuing officer; and

  (e) the Electoral Commissioner is the relevant chief executive; and

  (f) the Federal Circuit Court of Australia and the Federal Court of Australia are the relevant courts.

Persons assisting

(4) An authorised person may be assisted by other persons in exercising powers or performing functions or duties under Part 2 of the Regulatory Powers Act in relation to offences and civil penalty provisions of this Act.

Extension to external Territories

(5) Part 2 of the Regulatory Powers Act, as it applies in relation to this Act, extends to every external Territory.

314AK Investigation powers for this Part of the Act

Provisions subject to investigation

(1) A provision is subject to investigation under Part 3 of the Regulatory Powers Act if it is:

  (a) a civil penalty provision of this Part for which the specified number of penalty units is 100 penalty units or more; or

  (b) an offence provision of this Part; or

  (c) an offence against the Crimes Act 1914 or the Criminal Code that relates to this Part.

Note 1: Part 3 of the Regulatory Powers Act creates a framework for investigating whether a provision has been contravened. It includes powers of entry, search and seizure.

Note 2:    Section 316 of this Act sets out additional powers relating to compliance and enforcement.

Related provisions, authorised applicant, authorised person, issuing officer, relevant chief executive and relevant court

(2) For the purposes of Part 3 of the Regulatory Powers Act, as it applies in relation to evidential material that relates to a provision mentioned in subsection (1):

  (a) there are no related provisions; and

  (b) the Electoral Commissioner is the authorised applicant; and

  (c) an inspector is an authorised person; and

  (d) a magistrateis an issuing officer; and

  (e) the Electoral Commissioner is the relevant chief executive; and

  (f) the Federal Circuit Court of Australia and the Federal Court of Australia are the relevant courts.

Persons assisting

(3) An authorised person may be assisted by other persons in exercising powers or performing functions or duties under Part 3 of the Regulatory Powers Act in relation to evidential material that relates to offences and civil penalty provisions of this Act.

Extension to external Territories

(4) Part 3 of the Regulatory Powers Act, as it applies in relation tothe provisions mentioned in subsection (1), extends to every external Territory.

314AL Infringement notices

Provisions subject to an infringement notice

(1) A civil penalty provision of this Part is subject to an infringement notice under Part 5 of the Regulatory Powers Act.

Note: Part 5 of the Regulatory Powers Act creates a framework for using infringement notices in relation to provisions.

Infringement officer

(2) For the purposes of Part 5 of the Regulatory Powers Act, an inspector is an infringement officer in relation to the provisions mentioned in subsection (1).

Relevant chief executive

(3) For the purposes of Part 5 of the Regulatory Powers Act, the Electoral Commissioner is the relevant chief executive in relation to the provisions mentioned in subsection (1).

Extension to external Territories

(4) Part 5 of the Regulatory Powers Act, as it applies in relation tothe provisions mentioned in subsection (1), extends to every external Territory.

3 After section 318

Insert:

318A Civil penalty provision for returns that are false or misleading

  A person is liable to a civil penalty if:

  (a) the person furnishes a return to the Electoral Commission; and

  (b) the return purports to be a return under Division 4, 5 or 5A; and

  (c) the person knows that:

     (i) the return is false or misleading in a material particular; or

     (ii) the return omits a matter or thing without which the return is misleading in a material particular.

Civil penalty:   300 penalty units.

Schedule 7—Anonymous gifts

Commonwealth Electoral Act 1918

1 Subsection 287(1)

Insert:

permitted anonymous gift has the meaning given by section 307AB.

2 After Division 4 of Part XX

Insert:

Division 4A—Anonymous gifts

307AA Interpretation

(1) In this Division:

anonymous gift: a gift is an anonymous gift if the gift is not made by a known donor.

candidacy period, in relation to a candidate, means the period:

  (a) starting on the earlier of the day on which the person announces that he or she will be a candidate in an election, or the day on which the nomination of the person as a candidate in the election is made; and

  (b) ending 30 days after the polling day in the election.

enables: a gift enables a person or entity to do a particular thing if all or a substantial part of the gift enables the person or entity:

  (a) to do all or a substantial part of that thing; or

  (b) to be wholly or substantially reimbursed for having done that thing.

gift:

  (a) in relation to a candidate, has a meaning affected by subsection (2); and

  (b) in relation to a member of a group, has a meaning affected by subsection (3).

group period,in relation to a group, means the period:

  (a) starting on the day on which the persons constituting the group make a request under section 168 in relation to an election; and

  (b) ending 30 days after the polling day in the election.

known donor: a gift is made by a known donor if:

  (a) at the time when the gift is made:

     (i) the person making the gift (the donor) gives the donor's name and address to the person receiving the gift; and

     (ii) the person receiving the gift has no grounds to believe that the name and address so given are not the donor's true name and address; or

     (b) the name and address of the donor are otherwise known to the person receiving the gift.

(2) A reference in this Division to a gift, in relation to a candidate (or a person acting on behalf of a candidate), does not include:

  (a) a gift made for the benefit of a group of which the candidate is a member; or

  (b) a gift made in a private capacity to (or for the benefit of) the candidate if the candidate has not used, and will not use, the gift solely or substantially for a purpose related to an election.

(3) A reference in this Division to a gift, in relation to a member of a group (or a person acting on behalf of a group), is a reference to a gift made for the benefit of the group.

(4) A reference in the definition of known donor in subsection (1) to the donor's name and address is:

  (a) in the case of a gift made on behalf of the members of an unincorporated association, other than a registered industrial organisation—a reference to:

     (i) the name of the association; and

     (ii) the names and addresses of the members of the executive committee (however described) of the association; and

  (b) in the case of a gift purportedly made out of a trust fund or out of the funds of a foundation—a reference to:

     (i) the names and addresses of the trustees of the fund or of the funds of the foundation; and

     (ii) the title or other description of the trust fund or the name of the foundation, as the case requires.

(5) A reference in this Division to a thing done by a person includes a reference to a thing done by a person on behalf of the members of an unincorporated association.

307AB Meaning of permitted anonymous gift

Anonymous gifts made at general public activities

(1) An anonymous gift received by or on behalf of a person or entity (the recipient) is a permitted anonymous gift if:

  (a) the amount of the gift is $500 or less; and

  (b) the gift is received at a general public activity (see subsection (3)); and

  (c) a person involved in the organisation of the activity makes a record, for the purpose of this section, of:

     (i) the date, location and nature of the activity; and

     (ii) the names and addresses of the people involved in the collection or receipt of gifts at the activity; and

     (iii) the total amount of anonymous gifts received by or on behalf of the recipient at the activity.

(2) If:

  (a) a particular person makes 2 or more gifts for the recipient at the activity; and

  (b) a person involved in the collection or receipt of gifts at the activity knows that the gifts are from the same person, and that the total of the gifts exceeds $500;

then, despite subsection (1), so much of those gifts as equals the excess is not a permitted anonymous gift.

(3) A general public activity is an activity that is conducted in a public place or in some other place to which members of the public have ready access.

Note: General public activities include, for example, street stalls and stalls at fetes.

Anonymous gifts made at private events

(4) An anonymous gift received by or on behalf of a person or entity (the recipient) is a permitted anonymous gift if:

  (a) the amount of the gift is $500 or less; and

  (b) the gift is received at a private event (see subsection (6)); and

  (c) a person involved in the organisation of the event makes a record, for the purpose of this section, of:

     (i) the date, location and nature of the event; and

     (ii) the number of people who attended the event; and

     (iii) the names and addresses of the people involved in the collection or receipt of gifts at the event; and

     (iv) the total amount of anonymous gifts received by or on behalf of the recipient at the event; and

  (d) if the total amount of anonymous gifts received by or on behalf of the recipient at the event exceeds the amount worked out by multiplying $500 by the number of people who attend the event—within 6 weeks of the event:

     (i) the excess is returned; or

     (ii) if it is not possible or practicable to return the excess—the amount of the excess is paid to the Commonwealth.

(5) If:

  (a) a particular person makes 2 or more gifts for the recipient at the event; and

  (b) a person involved in the collection or receipt of gifts at the event knows that the gifts are from the same person, and that the total of the gifts exceeds $500;

then, despite subsection (4), so much of those gifts as equals the excess is not a permitted anonymous gift.

(6) A private event is a function, meeting or other event that is not a general public activity.

Section only applies to gifts of money

(7) This section only applies in relation to gifts of money.

307AC Division does not apply to gifts that are returned or paid to Commonwealth within 6 weeks

  This Division does not apply to a gift if, within 6 weeks of the receipt of the gift:

  (a) the gift is returned; or

  (b) if it is not possible or practicable to return the gift—the amount or value of the gift is paid to the Commonwealth.

307AD Anonymous gifts: when unlawful for political party, candidate etc. to receive gift

When receiving gift is unlawful

(1) It is unlawful for an anonymous gift that is not a permitted anonymous gift to be received in any of the following circumstances:

  (a) the gift is received by a registered political party (or by a person acting on behalf of a registered political party);

  (b) the gift is received by a State branch of a registered political party (or by a person acting on behalf of a State branch of a registered political party);

  (c) the gift is received by a candidate (or by a person acting on behalf of a candidate) during the candidacy period;

  (d) the gift is received by a member of a group (or by a person acting on behalf of a group) during the group period.

Liability for unlawful receipt of gift

(2) If a person or entity specified in column 1 of an item in the following table receives a gift that, under subsection (1), it is unlawful for the person or entity to receive, an amount equal to the amount or value of the gift is payable to the Commonwealth by the person or persons specified in column 2 of that item.

(3) If, under subsection (2), an amount is payable to the Commonwealth by 2 or more persons, those persons are jointly and severally liable for the payment of the amount.

(4) An amount that, under subsection (2), is payable by a person or personsto the Commonwealth may be recovered by the Commonwealth as a debt due to the Commonwealth by action, in a court of competent jurisdiction, against that person or any one or more of those persons.

307AE Anonymous gifts: when unlawful for political party, candidate etc. to receive gift made using anonymous gift

When receiving gift is unlawful

(1) It is unlawful for a person or entity to receive a gift (the political gift) from a person (the donor) if:

  (a) the political gift is received in any of the following circumstances:

     (i) the gift is received by a registered political party (or by a person acting on behalf of a registered political party);

     (ii) the gift is received by a State branch of a registered political party (or by a person acting on behalf of a State branch of a registered political party);

     (iii) the gift is received by a candidate (or by a person acting on behalf of a candidate) during the candidacy period;

     (iv) the gift is received by a member of a group (or by a person acting on behalf of a group) during the group period; and

  (b) an anonymous gift received by the donor enabled the donor to make the political gift; and

  (c) the anonymous gift is not a permitted anonymous gift.

Liability for unlawful receipt of gift

(2) If a person or entity specified in column 1 of an item in the following table receives a gift that, under subsection (1), it is unlawful for the person or entity to receive, an amount equal to the amount or value of the gift is payable to the Commonwealth by the person or persons specified in column 2 of that item.

(3) If, under subsection (2), an amount is payable to the Commonwealth by 2 or more persons, those persons are jointly and severally liable for the payment of the amount.

(4) An amount that, under subsection (2), is payable by a person or personsto the Commonwealth may be recovered by the Commonwealth as a debt due to the Commonwealth by action, in a court of competent jurisdiction, against that person or any one or more of those persons.

307AF Anonymous gifts: when unlawful for person to incur electoral expenditure using anonymous gift

Persons other than candidates and members of groups (current and former): when incurring expenditure is unlawful

(1) It is unlawful for a person to incur an amount of electoral expenditure if:

  (a) the person is not, and has not at any time been, a candidate or a member of a group; and

  (b) an anonymous gift received by the person enabled the person to incur the expenditure; and

  (c) the anonymous gift is not a permitted anonymous gift; and

  (d) the person is required by section 314AEB to provide a return setting out details of the expenditure (whether or not that return has been provided).

Candidates and members of groups (current and former): when incurring expenditure is unlawful

(2) It is unlawful for a person to incur an amount of electoral expenditure if:

  (a) the person is, or has at any time been, a candidate or a member of a group; and

  (b) an anonymous gift received by the person enabled the person to incur the expenditure; and

  (c) the anonymous gift is not a permitted anonymous gift.

Liability for unlawful incurring of expenditure

(3) If a person incurs an amount of electoral expenditure that is unlawful under subsection (1) or (2), an amount equal to the amount of the expenditure is payable to the Commonwealth by the person.

(4) An amount that, under subsection (3), is payable by a personto the Commonwealth may be recovered by the Commonwealth as a debt due to the Commonwealth by action, in a court of competent jurisdiction, against that person.

Schedule 8—Transitional provisions

1 Transitional rules

(1) The Minister may, by legislative instrument, make rules prescribing matters of a transitional nature (including prescribing any saving or application provisions) relating to the repeals or amendments made by Schedules 3 to 8 to this Act.

(2) Without limiting subitem (1), rules made before the end of the transitional period may provide that this Act or any other Act or instrument has effect with any modifications prescribed by the rules.

(3) Subsection 12(2) of the Legislation Act 2003 does not apply to rules made before the end of the transitional period.

Note: Subsection 12(2) of the Legislation Act 2003 is about the retrospective application of legislative instruments.

(4) To avoid doubt, the rules may not do the following:

  (a) create an offence or civil penalty;

  (b) provide powers of:

     (i) arrest or detention; or

     (ii) entry, search or seizure;

  (c) impose a tax;

  (d) set an amount to be appropriated from the Consolidated Revenue Fund under an appropriation in this Act;

  (e) directly amend the text of this Act.

(5) This Act (other than subitem (4)) does not limit the rules that may be made.

(6) The transitional period is the period of 2 years beginning on the day this Act receives Royal Assent.

Mathias Cormann (WA, Liberal Party, Vice-President of the Executive Council) Share this | Link to this | Hansard source

This amendment does a whole series of things, some of which might be worthy of exploration but others which are problematic. We are not in a position to support these amendments. Senator Lambie is proposing to require parties to establish an electoral expenditure account. We have sympathy for this, but we have already achieved this through the government's amendments to our own bill in response to a JSCEM recommendation. We do not support the proposition that we should provide for anonymous gifts of up to $500 at events per person per event. This could be criticised for creating a new loophole, I would have thought, and is inconsistent with the threshold that applies in the context of the ban on foreign political donations. So we think that the issues that Senator Lambie raises through this amendment should be pursued through the Joint Standing Committee on Electoral Matters in the first instance.

Don Farrell (SA, Australian Labor Party, Shadow Special Minister of State) Share this | Link to this | Hansard source

The opposition will not be supporting this amendment. This amendment seeks to amend the Australian Electoral Commission's role and responsibility significantly, which, in the opposition's view, requires consultation with the commissioner. Senator Lambie is an experienced campaigner for transparency reforms, and Labor are open to work with her to ensure reforms can be achieved in the appropriate way. In addition, this amendment seeks an alternative disclosure threshold of $2,500—more than double the threshold that Labor has sought to achieve through our private senator's legislation.

Larissa Waters (Queensland, Australian Greens) Share this | Link to this | Hansard source

[by video link] The Greens will be supporting this amendment which has a series of features within it. It lowers the disclosure threshold, which we support, as we've discussed already on this bill. It doesn't lower it quite as low as the Greens moved for. We wanted the threshold at $1,000, and my understanding is that this amendment would impose a threshold of disclosure of $2,500, but that's a damn sight less than $14,300. I understand that this now also has some changes to the time frame for disclosure. As I said earlier today, at the minute you need to disclose only once a year, on 1 February, and because of the time lag between calendar years and financial years it can be up to 19 months before it's put in the public domain as to which donor donated to which political party. That is so far beneath what is a transparent and accountable approach to disclosure. The Greens would like to see as close to real-time disclosure as possible, and I understand that the Labor Party's view is that they want a seven-day disclosure period. These amendments would have, on my reading of them, a six-month disclosure time frame—which, again, is not quite as rigorous as the Greens would like, but it is still better than the current rules. So, on that basis, we support that element, because it's an improvement.

I understand that there are also some provisions in this amendment that go to anonymous donations. They've long been discussed, because it's a balance between the administrative burden we place on donors and political parties and the need for the public to know who's paying whom. There have long been recommendations for a cap of between $50 and $500 on anonymous donations. And when I say 'anonymous', the example often used is buying a raffle ticket at a party function, so it's not anything that's necessarily nefarious, as 'anonymous' might imply; it's merely those smaller amounts of casual support that many people express and that aren't of a significant amount that would exert an undue influence.

Again, my understanding of these amendments is that they lower that threshold to $500. The Greens would like to see it lower than that. We've pegged it at $50 but, on the basis that this proposed threshold is at least an improvement on our current laws, we will be supporting that as well. So I again confirm that the Greens will be supporting these amendments.

David Fawcett (SA, Liberal Party) Share this | Link to this | Hansard source

The question is that the Jacqui Lambie Network's amendments (1) and (2) on sheet 8976 be agreed to.