Animal welfare groups: Institutions of Public Character status a boost

Animal welfare groups: Institutions of Public Character status a boost

Organisations held to higher standards of regulatory compliance and governance

BY SIAU MING EN
siaumingen@mediacorp.com.sg

PUBLISHED: 4:17 AM, SEPTEMBER 25, 2015(PAGE 1 OF 1)

SINGAPORE — While obtaining Institutions of Public Character (IPC) status could mean more paperwork and one-off expenses for animal welfare groups, the handful that have been accredited continue to see it as a boon for the growth of the community and furthering their cause.

Registered charities with IPC status can issue tax deductible receipts to donors who wish to claim tax relief from their donations, which could result in more donating to these charities. There are about 580 approved IPCs to date, and of these, only four are animal welfare groups: Animal Concerns Research and Education Society, the Society for the Prevention of Cruelty to Animals, the Cat Welfare Society (CWS) and most recently, Save Our Street Dogs (SOSD). This is out of the estimated 20-odd animal welfare organisations operating here.

But because IPC status can make organisations more appealing to donors, such organisations are also held to higher standards where regulatory compliance and governance are concerned, creating more administrative work.

SOSD received its IPC status in April, and president Siew Tuck Wah recently quit his full-time job as a medical aesthetics doctor, in part to oversee the paperwork, and governance framework and systems that need to be put in place.

But he pointed out that obtaining the IPC status was the “highest accreditation for a charity” and is also the only way for donors to get tax deduction.

“From the moment I took over, I wanted to go for IPC. Everybody was against it because it would mean a lot of paperwork, a lot of keeping up to do. In fact, of the founding members, more than half of them left because ... they wanted it to be a very small, informal kind of group,” he added.

ACRES founder Louis Ng said IPC status allows society to support the animal welfare movement while enjoying tax benefits. “(But) unlike other sectors of the social movement, the animal (welfare) groups have the least number of IPCs,” he added. ACRES was given the IPC status in 2007.

CWS obtained its IPC status in 2013. Former CWS vice-president Veron Lau said more money has to be pumped in to upgrade its back-end systems and outsource the accounting work to external parties.

“It takes so much effort, you really need to have the right people on board, and you need to be financially strong enough,” she said. But she also noted that while most animal welfare groups want all their money to go into helping animals, it means “they will never really get any bigger than where they are now”. She added that the expenses involved are a one-off expenditure.

CWS, however, did not see a significant increase in donations after becoming an IPC. Ms Lau said many corporations — which are more likely to donate to IPCs — do not recognise animal welfare as part of their philanthropic portfolio.

Ms Cathy Strong, co-founder of Animal Lovers League, a registered charity, said she has been urged by others to try for IPC status, and agreed that it could make the charity more appealing to donors. But she noted that groups that have become IPCs have run into financial trouble occasionally. “Maybe corporates would rather donate to (charities) that serve people,” she said.

At present, the group pays a token sum to an accountant to set its financial affairs in order. But becoming an IPC would entail hiring full-time staff. “It’s something I will give some thought to ... we are in need of funds for a new shelter,” she added.

Mr Ng felt the additional workload is manageable, pointing out that he handles the accounting work himself despite not being trained. Noting that the sector is growing, Mr Ng said if more animal welfare groups obtain IPC status, the community can also push for a sector administrator or a national council for animal welfare.

The sports sector and voluntary welfare organisations, for instance, have Sport Singapore and the National Council of Social Service to provide grants, strengthening the movement, he noted.


- wong chee tat :)