New Bill to Encourage Food Donations

Western Australian Senator Dean Smith has tabled a Private Senator’s Bill, the Tax Laws Amendment (Incentivising Food Donations to Charitable Organisations) Bill, in the Senate. This Bill aims to change Australia’s tax system to encourage the donation, rather than dumping, of food. It has the potential to deliver millions of extra meals and help Australia reach its bipartisan commitment to halve food waste by 2030.

The Bill has been referred to the Senate Economics Legislation Committee for inquiry and report by 15 November 2024. Thank you to those who have made a submission in response to the Bill, and those who have helped us advocate for these reforms through our industry letter of support.  You can find out more about the Bill and the Senate Inquiry here.

Inspiration from the National Food Donation Tax Incentive

The Bill is inspired by the National Food Donation Tax Incentive, a proposal developed by KPMG through the support of End Food Waste Australia, the NSW Environmental Protection Agency and Queensland Department of Environment and Science. It incentivises food businesses, such as farmers, wholesalers and transporters to donate surplus food and allied services to Australian food relief charities.

The incentive has garnered support in recent Parliamentary inquiries and was a key recommendation in the House of Representatives Standing Committee on Agriculture’s Report into Food Security in Australia. It also enjoys widespread endorsement from representative organisations and businesses in the Australian food industry and works successfully in other countries, including France, Canada, and the United States.

Foodbank Australia CEO Highlights Urgency

Foodbank Australia CEO, Brianna Casey AM, stressed the importance of this incentive.

We have families unable to put food on the table despite tonnes of perfectly edible food being dumped or ploughed in each year. We know that households under financial pressure have been forced to reduce – or even remove – their spend on fresh fruit & vegetables and protein, meaning demand for these products at food banks across Australia has skyrocketed. This tax incentive is smart policy, and the debate in the Senate next week should be about how quickly we can introduce it, not about party politics.

Support from OzHarvest and SecondBite

OzHarvest CEO, James Goth, agreed, “Demand for food relief is at an all-time high and our charities are telling us they are struggling to cope with the ongoing increase in numbers. This bill has the potential to get edible food off farms and onto the plates of those who need it most, addressing food security and food waste simultaneously. It’s crucial for politicians to recognise this need in the community and unite to implement this reform.”

SecondBite CEO, Daniel Moorfield, added, “We are committed to working with the government and all stakeholders to ensure the successful implementation of this tax incentive. Together, we can make a lasting impact on the lives of millions of Australians and move closer to achieving our food waste reduction goals.”