Chapter 3Key areas of stress for Australians: updates since the Second Interim Report
3.1This chapter provides an update on key issues that the committee examined in the Second Interim Report, on the major areas of stress for Australians struggling with the cost of living crisis—namely:
food and groceries, including concerns expressed about the Australian supermarket sector;
travel and transport;
energy prices, including the proportion of energy customers experiencing hardship;
housing; and
not-for-profits, including the extent to which demand for food and other services from charitable organisations has increased.
3.2The committee's views concerning the above issues are set out in Chapter 5 of this report. As noted in that chapter, the Labor Government is yet to respond to the committee's previous recommendations on measures that would alleviate cost pressures for Australians in these areas.
Food and groceries
3.3In the 12 months to September 2023, food inflation was 4.8 per cent. Over the 12 months to June 2024, food inflation was 3.3 per cent.
3.4In the May 2024 Second Interim Report, the committee noted that Australians are generally spending more money at the checkout but ending up with less and less of groceries. The committee also drew on data from the food charity sector, which showed a significant increase in people asking for assistance, particularly for food.
3.5The evidence received since then shows the pressure on Australian families has not retreated, and in fact, may have worsened. For example, Anglicare Sydney pointed to its own research indicating 'severe food insecurity' for some Australians, with adults 'cutting back on meals to protect their children', reducing or not taking medications and not keeping specialist and medical appointments to ensure their children have access to food. Anglicare Sydney also suggested some households are:
reducing the number and size of meals;
switching to cheaper, carbohydrate-based foods;
reducing fresh fruit and vegetables; and
rationing food to make it last.
3.6The Salvation Army reported, based on a survey of 1500 people who were largely in receipt of income support payments, that:
69 per cent of households with children were skipping meals to ensure their children could eat;
47 per cent experienced severe food insecurity, going a full day without eating because of financial difficulties; and
21 per cent of households with children said their children went to school without lunch.
3.7This is supported by evidence collected by the committee through its community survey, and in reporting on the crisis in the last six months. Of the 1275 community survey responses, more than 93 per cent agreed that they had experienced cost of living pressures in the past six months, and more than 90 per cent said they had to re-prioritise expenditure or go without due to cost of living pressures. The primary cause of cost of living pressures among respondents was food and grocery prices (ahead of energy and power bills, health, and travel and transport costs).
3.8In responses to the community survey received since the Second Interim Report, one respondent highlighted the cost of food and groceries, stating 'I have bought less and cheaper kinds of groceries. I have stopped getting takeaway' while another said:
I do not eat out. I do not socialise in pubs or go to paid cultural events with my friends because it is an added cost. I have to plan and organise my meal schedule to prioritise the cheapest ingredients, while balancing attention to health.
Concerns raised about the supermarkets sector
3.9Between them, Woolworths, Coles, Aldi and IGA (Metcash) held 82 per cent of the market share of grocery retailers in Australia in the 2022–23 financial year, with Woolworths and Coles holding almost two-thirds of the market share:
Woolworths Group (37 per cent);
Coles Group (28 per cent);
Aldi (10 per cent);
IGA/Metcash (seven per cent); and
other (18 per cent).
3.10Multiple survey respondents stated they believed Australian supermarkets engaged in price gouging activities.
3.11Chato International called for unit pricing standards to be aligned with the principles of transparency and consumer protection. It proposed specific amendments to the Competition and Consumer (Industry Codes - Unit Pricing) Regulations 2021 to 'enhance clarity and uniformity in the way prices are displayed'.
3.12The price gouging allegations were put to representatives of the major supermarkets who were called to give evidence directly to the committee. The Chief Commercial Officer of Woolworths Supermarkets and Metro stated that Woolworths is 'acutely aware of the cost of living pressures on households and vulnerable Australians, and we understand many of our customers are under immense cost of living pressure'. He told the committee that the same pressures of interest rates, rents, energy, insurance, fuel and transport costs are faced by suppliers and 'have been the significant drivers of grocery price inflation'. Further:
Since I last updated the committee, approximately 1,000 suppliers have asked for cost price increases on an additional 12 500 items. The average ask from these suppliers has continued to be more than 10 per cent.
3.13Similarly, the Head of Public Affairs at Coles Group, Mr Adam Fitzgibbons, acknowledged that 'many of our customers are dealing with the challenges of rising cost of living right now and have been for some time'. He further stated that Coles has 'a very small' profit margin that has not increased with the rise in inflation 'and is consistent with profit margins made by supermarkets overseas. The Australian grocery sector is highly competitive'. In addition, he argued that 'I don't think that a high level of concentration automatically equals a lack of competition'.
3.14The Chief Commercial Officer of Woolworths Supermarkets and Metro expressed a similar the view that 'Australia has one of the most efficient and competitive grocery sectors in the OECD [Organisation for Economic Co‑operation and Development], which, in comparison, has shielded us from the worst of global inflation'. Further, he was of the view that a 'concentrated supermarket sector … [is] not determinative of a lack of competition'. On the matter of increased costs of groceries, he stated that 'food inflation at Woolworths has moderated', with 'deflation in the financial year 2024'.
3.15On the matter of supermarket competitiveness, the Chief Commercial Officer of Woolworths Supermarkets and Metro suggested that, on average at the national level, 'there are three major competitors within two kilometres of a Woolworths supermarket'. He further noted that Australians now have access to 'three of the world's biggest and most competitive retailers—Aldi, Costco and Amazon—… and that's a good thing'.
3.16Evidence from the Australian Competition and Consumer Commission (ACCC) acknowledged that while a duopoly or a highly concentrated oligopoly could be highly competitive, 'history and economic theory tell us that, the more concentrated the market is, the more there is a risk that competition isn't working the way you would want it to'.
3.17When questioned regarding the number of products that were providing a smaller serving for the same or higher price over time (a phenomenon referred to as 'shrinkflation'), witnesses from both Coles and Woolworths suggested that the issue was a matter for manufacturers, who decide to reduce the size of packaging while charging the same price for that product. Both flagged that unit pricing is an important component customers may rely on to determine value for money.
3.18Mr Adam Fitzgibbons from Coles told the committee that:
… certainly from a Coles perspective … inflation is the enemy of keeping prices low. We see continued inflation, particularly in shipping, at a significant level, and that's a concern for us going forward, because it is those inflationary pressures that affect not just Coles, but also up the supply chain. Those are the types of pressures that certainly make it more expensive for Coles to buy goods, but also make it more expensive for us to sell them. So that's of concern to us going forward.
3.19The committee reserved commentary in the Second Interim Report on the Government's review of the Food and Grocery Code of Conduct. The Labor Government announced, on release of the review report on 24 June 2024, that:
the Food and Grocery Code of Conduct will be made mandatory;
Coles, Woolworths, Aldi and Metcash will be subject to multi-million-dollar penalties for serious breaches of the Code;
the Federal Government will create an anonymous supplier and whistle‑blower complaints pathway through the ACCC; and
the Federal Government will introduce additional obligations intended to protect suppliers from retribution by supermarkets.
3.20On 23 September 2024, the ACCC announced that it had commenced proceedings in the Federal Court against Woolworths Group Limited and Coles Supermarkets Australia 'for allegedly breaching the Australian Consumer Law by misleading consumers through discount pricing claims on hundreds of common supermarket products'. In particular, the ACCC alleged that 'Woolworths and Coles breached the Australian Consumer Law by making misleading claims about discounts, when the discounts were, in fact, illusory'. The ACCC estimated that tens of millions of the affected products were sold, leading to significant revenue from those sales for Woolworths and Coles. The committee makes no findings in relation to this matter.
Travel and transport
3.21The committee continued to hear evidence that the cost of transport and freight are impacting the cost of doing business and productivity for businesses.
3.22In particular, witnesses from the manufacturing sector flagged that the cost of local freight and transportation has increased significantly, because of driver and truck availability, which is impacting the cost of doing business for the manufacturing industry. Further, the cost of sea freight, while less than it was during the pandemic period, has not reduced to pre-pandemic prices.
3.23The Reserve Bank of Australia (RBA) noted in August 2024 that, 'recent increases in shipping costs are a key risk to the outlook for goods inflation, although retail firms in liaison are yet to report that shipping costs are flowing through to their costs'.
3.24The impact of the cost of doing business crisis and compounding impact of the cost of living crisis on the manufacturing sector is discussed in further detail in Chapter 4.
3.25In the Second Interim Report, the committee formed the view that at 'a time where the cost of living is hurting many Australians incredibly hard, now is not the time to disadvantage those who grow, process and transport our food'. As such, the committee recommended that the Labor Government remove the heavy vehicle charge increases introduced in the 2023–24 Budget and the Biosecurity Levy increased introduced in the 2023–24 Budget. The committee has not yet received a response from the Government to these recommendations.
Energy prices
3.26The committee continued to hear mounting evidence that energy costs are impacting both individuals and business. The Chief Economist of the Business Council of Australia at the 7 August 2024 public hearing, suggested that Australia's energy costs were previously among the lowest in the world, but 'Australia now has among the highest energy costs of our competitors'.
3.27Professor Richard Holden noted that higher 'energy prices are bad news for business', negatively impacting business profitability and the ability of business to invest in capitals investment that improve labour productivity. Both large and small businesses expressed concern about increasing energy costs:
Mondelez International told the committee that increasing energy costs were 'a significant challenge, up 30 per cent over five years' and 'gas prices alone have risen over 100 per cent for our Victorian factories between last year and this year'.
Nestle noted that it was 'probably one of the lucky ones' in that it had shifted to 100 per cent renewable electricity, with a power purchase agreement, leading to a 'good surprise for us' in that Nestle's electricity costs 'have not been as expensive as the normal electricity that we would be paying today'.
Seeley International told the committee that electricity prices had increased by almost 60 per cent this year, 'when we had to renew a contract'.
Corex Plastics noted the challenges involved in moving 'to these energy targets when the infrastructure's not supporting what the ideology's pursuing', providing an example of a manufacturer who intended to purchase 100 electric trucks but would be unable to charge them all at once.
3.28Seeley International informed the committee that it was a 'firm' advocate 'for a transition to net zero, but we believe that gas is an essential transition fuel both for energy generation and for domestic use' because gas 'will result in less emissions and less cost for consumers if that is acknowledged by not only federal but also state governments'. Mr Seeley further noted that:
Government energy policy has driven huge price increases for consumers and businesses like ours. Ambiguity on gas from the federal government and ideologically driven hostility from the Victorian government have suppressed the domestic supply of gas and caused the substitution of available alternatives for electricity generation, which unfortunately at this stage is primarily coal, resulting in higher emissions not lower.
Customers experiencing hardship
3.29Evidence to the committee confirmed previous findings that Australian retail energy users were also doing it tough, with energy being a major driver of the cost of living crisis. Responses to the community survey indicated that energy costs were the second most highly cited reason for cost of living pressure, with electricity prices increasing by around 14 per cent in the last two years. Without taxpayer funded rebates, underlying electricity prices have risen around 30 per cent since May 2022.
3.30These findings were supported by industry data. AGL reported to the committee that the net number of customers on its hardship program increased by 45 per cent in the 2023–24 financial year. It noted that despite this increase, customers 'are engaging with AGL sooner', suggesting that Australians are being more proactive in seeking options to address the cost of living crisis as it continues. Around 0.7 per cent of AGL's residential customers were in its hardship program, with around 0.6 per cent of AGL's total customers in its hardship program.
3.31Red Energy and Lumo Energy informed the committee in September 2024 that it had observed an increase in both the number of customers admitted to its hardship program and the value of hardship debt. It noted the 'increase is in line with growth in our customer base over the past two years', from 0.56 per cent of total customers in May 2023 to 0.69 per cent a year later.
3.32The Australian Energy Regulator is a government agency tasked with monitoring energy retail performance indicators. In its submission, it noted 'evidence that over the past two years retailers have been identifying customers experiencing payment difficulties at an earlier stage', suggesting that the increased use of hardship programs as a result 'is a positive sign'. However, the Australian Energy Regulator also noted 'evidence that customers are finding it more difficult to meet usage costs via their payment plans and the rate of successful hardship program completion has declined'. In particular, 1.86 per cent of customers in 2023–24 were in hardship programs, compared to 1.13 per cent in 2018–19 (see Figure 3.1), while only 24 per cent of residential customers in hardship programs successfully completed it in 2023–24, compared with 31 per cent in 2022–23 (see Figure 3.2).
Figure 3.1Number of residential electricity customers in hardship programs—2018–19 to 2023–24
Source: Australian Energy Regulator, Submission 209, p. 2.
Figure 3.2Proportion of residential electricity customers on hardship programs successfully exiting programs—2018–19 to 2023–24
Source: Australian Energy Regulator, Submission 209, p. 4.
Potential solutions
3.33Some manufacturers expressed support for the reintroduction of an instant tax write-off to help with their energy transition, and to help with manufacturing growth in general.
3.34There were calls from some witnesses and respondents to the community survey that suggested further energy rebates would assist consumers with the increased energy prices. However, as discussed above, the effectiveness of temporary energy subsidies on reducing inflation is limited at best.
3.35In the Second Interim Report, the committee recommended that the Labor Government 'remove arbitrary price controls from interventions that have the impact of discouraging the investment that will deliver greater supply and lower energy prices for individuals and businesses'. The committee also recommended that the Australian Government 'develop a clear agenda to reduce red and green tape and limit lawfare' to 'facilitate more investment' in the natural gas sector, as well as 'lift Australia's ban on nuclear energy, to allow consideration of it as a cost-efficient, reliable and low-emissions energy source'. The Labor Government has not yet responded to these recommendations.
Housing
3.36The committee continued to receive evidence indicating that housing is one of the, if not the primary, cost of living pressure for many Australians. In the last two years, the cost of housing has increased 13.1 per cent and the cost of rents has increased 16.3 per cent.
3.37For example, Anglicare Australia highlighted the unaffordability of the private rental market for almost anyone in receipt of government support payments (including the age pension and disability support pension) and suggested that for many people in essential occupations there were very few housing options available. For this cohort especially, housing prices must be brought under control.
3.38Anglicare Sydney pointed to its own research which suggested that public housing tenants may not have as many critical issues with food, rent and energy bills compared with private renters or people with mortgages, as rents are set as a fixed proportion of income.
3.39One submitter suggested that impacts of the high cost of housing may extend to less Australians being able to afford to have children, the need to keep the cost of homes elevated and growing to ensure broader financial stability of Australia's economy and the banking sector, an eroding middle class, homelessness and reduced social cohesion. He suggested that as a result, 'there are very valid reasons to reduce immigration during the next five years'.
3.40The committee heard from the Housing Industry Association that there have been improvements in conditions for the housing construction industry recently:
Material prices have levelled off; they're at a higher rate, but they have levelled off. Skilled labour is still short, but [businesses] are able to plan ahead a little more for that. We are seeing build times becoming shorter; they have not become as short as they were pre-COVID, but they are certainly going in the right direction. That means that the builder, when building the home, is not underwriting the risk for as long.
3.41However, the RBA at the 7 August 2024 hearing in Sydney, told the committee that dwelling investments and residential construction are a 'very weak' part of the economy currently, because of labour shortages and the high cost of construction. In particular, dwelling approvals are historically 'very low right now'.
3.42Leading economists at the 7 August 2024 hearing shared their views on the current issues with the housing construction sector:
delaying government infrastructure projects;
zoning regulations restricting supply;
increasing construction costs;
first home buyers' grants, which are 'a direct, 100 per cent transfer from younger buyers to older sellers'; and
stamp duty, causing distortions.
3.43Multiple expert witnesses argued that government construction projects are pulling skilled labour from work on residential construction and causing delays, and pushing up both labour and supply costs for private construction, both of residential and non-residential projects.
3.44The Australian Industry Group informed the committee that, for business, new 'build costs in Australia are very high compared to those in most other jurisdictions, and that works against our natural advantages in terms of energy, minerals and agricultural products'. Dr Jeffrey Wilson, Director of Research and Economics at the Australian Industry Group, argued that the manufacturing industry 'would certainly benefit significantly from a holistic look at some of the building and construction issues that we face in Australia'.
3.45The committee sought evidence on the question of the impact of the activities of the Construction, Forestry and Maritime Employees Union (CFMEU) on the cost and supply of housing. Master Builders Australia noted that where companies meet union demands, 'the inflated costs of union pattern agreements make it impossible for them to compete, unless they are protected from competition by the union'.
3.46The Housing Industry Association contended that 'the actions of the CFMEU impact the competition for skilled labour and materials'. Further, while the low‑rise detached/cottage construction sector of the residential building industry has not seen illegal industrial disputes to the extent of the civil and commercial construction sectors, the influence that the CFMEU has on commercial, multi-unit or government-funded construction work has impacted cost and productivity and restricted healthy competition through enterprise bargaining agreements (EBAs). However, this in turn flows into residential construction, pushing up prices for labour and supplies.
3.47The Housing Industry Association noted that 'there is a persistent and underlying shortage of skilled labour within the industry that is exacerbated' by competition for skilled workers attracted to the terms and conditions found in Enterprise Bargaining Agreement sites. Further, the 'pool of workers to be drawn from for this work is in high demand and will likely be from the same cohort of potential workers that the residential building industry would be seeking to draw from'. As a result, capacity constraints, especially for skilled labour, 'have seen construction times increase by more than a third, increasing costs'. The Housing Industry Association argued that not only is the current enterprise bargaining framework 'not fit for purpose for the residential building industry, but questions should be raised about the bargaining process more broadly'.
3.48The Australian Chamber of Commerce and Industry suggested that the 'construction costs of major government projects in Victoria, NSW and Queensland have been greatly elevated as a result' of 'preferential union treatment' to the CFMEU. Further, the Chamber suggested that data 'indicates that CFMEU EBAs are resulting in significantly higher new apartment prices than should otherwise be the case', in some instances between 10 and 33 per cent higher.
3.49This evidence was supported by Master Builders Australia, which stated:
… through [the Queensland Government's] procurement policy, they've written the [Australian Workers Union] out of the industry in Queensland quite effectively. That particular obligation means that our members in that state are forced into doing a deal with the CFMEU. Of course, they have no bargaining power there, because the CFMEU say, 'Here's your agreement. You need this to be eligible to tender for the work. If you don't comply, that's fine; we'll give it to somebody else.
…
You shouldn't be forced to do a deal with the CFMEU in order to be eligible to tender for state and federal government funded work, say, in Queensland. It's just not appropriate. Given the current environment that the CFMEU is involved in, I wouldn't have thought the federal government would want to encourage that or stand by and watch that take place.
3.50Master Builders Australia proposed that the Australian Government, when providing funding to state and territory governments, stipulate that Commonwealth Procurement Rules be adhered to, to the exclusion of state procurement rules. This is particularly compelling in light of the serious criminal activity that was alleged to have occurred in multiple state divisions of the CFMEU, leading to the Labor Government putting the national union into administration.
3.51In relation to impacts of the behaviour of CFMEU officials, the Housing Industry Association noted:
The impacts of this behaviour are five-fold:
1. It undermines confidence in the sector, a sector already bearing the brunt of current monetary policy.
2. It acts as a strong disincentive to enter the industry, increasing the competition for workers, adding to labour costs.
3. It jeopardises taxpayer dollars through government and infrastructure projects that cannot prioritise value for money due to the project ties to union deals.
4. It jeopardises productivity simply increasing the 'cost of doing business' in the industry.
5. All of which simply exacerbates the current cost of living crisis [emphasis added].
3.52The Housing Industry Association argued that the detached home building industry is 'one of the most, if not the most, efficient in the world' because its subcontractor workforce is paid for the completion of a task, not by the hour. It considered that 'constraints on productivity improvement' in the detached home building sector 'are imposed by government regulation at all tiers'. In particular, the 'decline in apartment construction is a direct consequence of government policies designed to slow apartment construction'.
3.53In the Second Interim Report, the committee made the following recommendations related to housing:
Recommendation 10
The committee recommends that the Australian Government works with the states and territories, and local governments to remove planning and zoning barriers to delivering greater housing supply. The Government should consider setting clear targets and key performance indicators to be achieved if incentive payments are to be included as part of this strategy, and withholding incentive payments until completed houses enter the market.
Recommendation 11
The committee recommends that the Australian Government works with state and territory governments to reduce or remove housing taxes such as land taxes, windfall gains taxes, and other developer charges to reduce the cost of new houses.
Recommendation 12
The committee recommends that the Australian Government support and legislate the Coalition's First Home Super Buyer scheme, to allow Australians to access their own money to buy their own home, without impacting their retirement savings.
3.54The Housing Industry Association informed the committee that it is 'broadly supportive' of the committee's previous recommendations and observations about housing and housing affordability. It particularly expressed support for Recommendation 4 from the Second Interim Report, which called for the Labor Government to 'repeal business harming industrial relations policies, particularly for small-to-medium sized businesses, and focus on delivering a more flexible and more productive workplace'.
3.55The Labor Government is yet to respond to these recommendations.
Impact on vulnerable cohorts
3.56The committee also received evidence noting the particular impacts of the cost of living crisis on children and young people. For example, the South Australian Commissioner for Children and Young People noted that the cost of living crisis 'disproportionally affects families who are on low incomes, single parent families and young people'. She noted that it is 'now affecting more households who are actively employed', with one in six children in Australia growing up in poverty. She was of the view that the committee needs to:
… consider significant changes to policy and legislation to ensure that children and young people - as well as their families - have the same opportunities as those experienced in previous generations. We also need to invest in social and community support systems and services, that destigmatise poverty and empower and support families and communities to thrive through access to resources, services and infrastructure.
To achieve this, it is important for the committee to recognise how the rise in the cost of living has impacted children and young people.
3.57Children and Young People with Disability drew the committee's attention to the fact that children and young people with disability and their families and caregivers 'bear a disproportionate burden' in the cost of living crisis and 'face additional vulnerability'. In particular, 'people with disability need to have 50% more income to achieve the same standard of living as those without disability'.
Not-for-profits
3.58The committee continued to receive evidence indicating ongoing high demand for the services provided by not-for-profits to help people during the cost of living crisis.
3.59Foodbank noted that its branches had experienced 'years of sustained, heightened demand for food relief, with supply of nutritious, culturally appropriate food simply not keeping up'. Further, 'food and fund donors … are also being squeezed'. It argued that the 'need for increased investment from the Federal Government to Foodbank has never been greater', given food relief is the most common type of emergency relief and requests for food relief have been increasing. In August 2022, almost 6000 people clicked on the 'Find Food' button on the Foodbank website, with this figure increasing to around 25 000 in May 2024. Data that Foodbank provided indicated that foodbank South Australia and Northern Territory (SANT) broke a record this year for the most food ever distributed, up 35 per cent from last year, at 5 million kilograms.
3.60Not-for-profits reported that they were assisting a greater ratio of households which were employed than in the past. For example, Foodbank noted in December 2023 that 'there has been a significant shift in the proportion of food relief recipients from households where there is at least one person in employment'. It reported that this increase has now expanded to households where people hold multiple jobs, such as a full-time position during the day and employment in the gig economy at night. It also flagged 'a stark increase in the number of people who are new to food relief'.
3.61The pressures even on dual income households were also highlighted in responses to the committee's community survey. One respondent noted the pressures of increasing mortgage repayments combined with the rising cost of food and groceries:
We are a dual income family, both with high paid jobs but the increase in power, mortgage repayments, groceries and other essential items means we have to be more frugal and cut back on anything that is a luxury or unnecessary spend.
3.62Woolworths informed the committee at the hearing on 11 October 2024, that in the financial year 2024, it had 'donated 36 million meals to Australian hunger relief charities, as well as $14.5 million to these organisations, such as Foodbank and OzHarvest'.
3.63However, as noted previously, charities and not-for-profits are facing their own pressures under Labor's cost of living crisis. The Australian Charities and Not‑for‑profits Commissioner noted in the Australian Charities Report—10th Edition that:
The five-year figures show there was a significant drop in the number of volunteers (-17%) and paid staff (-18%) for extra small charities. The data shows the cost of operating and delivering services has increased but extra small charities haven't received sufficient revenue or donations to keep pace with these increases.
3.64This was supported by comments from the Governor of the RBA. In a hearing held by the Senate Economics Legislation Committee, the Governor responded to a question on what the Bank was hearing in terms of the experience of charities and the not-for-profit sector:
The main thing that we're hearing is that it's inflation, it's the cost of living and it's the price level that are causing people stress… it's inflation which is compounding this whole issue… they don't have the money to buy essentials.
3.65In the Second Interim Report, the committee recommended that the Australian Government 'consider ways to encourage philanthropic activity, including providing tax incentives for charitable giving of goods and services'. The committee also recommended that the 'Australian Government consider policies, including tax deductions, that encourage private sector donations to food and hunger relief charities as a means to support those in desperate need in the cost of living crisis'.
3.66The Labor Government is yet to respond to these recommendations.
3.67At the public hearing on 13 September 2024, Nestle Australia expressed support for the proposed Tax Laws Amendment (Incentivising Food Donations to Charitable Organisations) Bill 2024. If passed, the bill would amend the Income Tax Assessment Act 1997 and the Income Tax (Transitional Provisions) Act 1997 to introduce a tax offset for constitutional companies for certain expenditure that they incur when donating food to registered charities.