With the end of the financial year fast approaching, strategic philanthropy can solve a familiar problem for wealthy clients: a last-minute tax bill, Judith Fiander, CEO at Australian Philanthropic Services says.

Private Ancillary Funds (PAFs) are a popular choice for people who have a large tax bill as a result of selling a business or property, with the added bonus of ensuring they can also leave a long-term charitable legacy. An immediate tax deductible donation to a PAF occurs that can be used that year, or spread across up to five years and the fund itself is tax exempt, so the money can grow over time.

But with just weeks until 30 June, Fiander says many potential donors worry it is too late to start.

“Setting up a PAF typically takes about five weeks. However, a lesser-known alternative called a Public Ancillary Fund (PuAF) or public giving fund, can be established in as little as one day with no setup fees. That means there is still time to claim a deduction this financial year,” Fiander says.

“Many of our clients don’t think of themselves as “wealthy” and this can be a barrier to structured giving. But experiencing a windfall, such as selling a business or a property, opens the door to this highly tax-effective and enormously satisfying opportunity.

“A giving fund with a provider like the Australian Philanthropic Services Foundation can be started with just $40,000.”

A recent survey conducted by Australian Philanthropic Services highlighted a shift towards long-term, values-led philanthropy, with the majority of respondents aiming to maintain their fund in perpetuity, ensuring their charitable impact continues for generations.

Fiander says the end of financial year (EOFY) presents an opportunity for individuals, couples and families considering philanthropy to identify causes close to their hearts, and put a plan in action that shapes a more purposeful legacy.

“People are increasingly looking for strategic advice on philanthropy, from setting up foundations to making sure donations are tax effective,” Fiander says.

Some people come to APS direct, and others come with the assistance of their financial adviser.

“By partnering with a specialist provider, advisers can expand what they offer clients without getting bogged down in red tape.

“While tax advantages grab attention at this time of year, the real power of structured giving is what it makes possible. Our clients are driven by having meaningful impact, family conversations about shared values, and the simple joy of giving.”

Latest Australian Taxation Office statistics from 2022-23, show PAFs made distributions of just under $800 million, with 114 new PAFs approved, adding to a total of 2,196 now operating in Australia.

The APS Foundation – Australia’s fastest growing and most generous Public Ancillary Fund amongst its peers – saw the creation of 123 new Giving Funds (or sub-funds) in FY2025.

Since its establishment 14 years ago, APS clients have given away more than $1.4 billion to charities and now have over $2.9 billion in funds donated into ancillary funds for future charitable use.

8 May 2026