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6.1 Gifts and benefits

6.1.1 In the course of your official duties you may be offered gifts, benefits, hospitality, or sponsored travel. This policy provides guidance on how to manage and report the acceptance of gifts and benefits, hospitality and sponsored travel, whilst managing your obligations under the Public Governance, Performance and Accountability Act 2013 (PGPA Act) and Public Governance, Performance and Accountability Rule 2014 (PGPA Rule). Adherence to this policy ensures reputational and security risks are mitigated, the department meets its legislative obligations, and the expectations of the Australian public. This guidance has been developed in accordance with the PGPA Act, PGPA Rule, the National Anti-Corruption Commission Act 2022 (NACC Act) the Public Service Act 1999 (PS Act), DFAT’s Integrity Strategy 2024-26, and with consideration given to policies of other departments with an overseas presence.

6.1.2 The APS and LES Codes of Conduct outline that an employee must not improperly use inside information, or their duties, status, power, or authority to gain, or seek to gain, a benefit or advantage for themselves, or any other person. Contractors must behave similarly and in accordance with provisions in their contracts.

6.1.3 This policy applies to all DFAT staff in Australia or overseas and includes APS, Contractors, LES, and attached agency LES (referred to as Employees). This policy should be extended, where possible, to DFAT staff spouses or family members. Attached agency a-based employees are expected to follow the policy and procedures set by their own department.

6.1.4 As a general rule, employees should not accept gifts and benefits offered in connection with their official duties or because of their position in the department. Acceptance of a gift or benefit in connection with an employee's employment can:

• create a real or apparent conflict of interest,
• compromise Australia’s or the department’s reputation,
• undermine security,
• be considered serious or systemic corrupt conduct under the NACC Act; and
• could be perceived as a bribe. Accepting a bribe is an offence under the Commonwealth Criminal Code Act 1995 (the Criminal Code) and a breach of the APS and LES Codes of Conduct.

However, the department recognises that limited circumstances may arise, particularly overseas, where no conflict of interest could reasonably be inferred from accepting a low value gift or benefit, or where refusal may reflect poorly on Australia, DFAT, or the post.

6.1.5 Regardless of the value, the Gift Test must always be applied when considering the acceptance of any gift or benefit accepted in connection with your official duties.

6.1.6 A gift or benefit may include, but is not limited to:

• alcohol (including wine)
• clothing
• benefits under loyalty schemes (including the Qantas Chairmans Club, Virgin Airlines ‘The Club’ and premier hotel chain offers)
• discounts on commercial items
• hospitality in the form of tickets to events (such as sports or concerts)
• luxury items (jewellery, handbags)
• artwork (including models, sculptures, figurines, and vases)
• money, shares or cryptocurrency
• sponsored travel
• externally hosted events with the provision of meals or other hospitality
• discounts on goods, services or other assets which are not available to the general public
• prizes won in open competition at work-related social events with an estimated value of more than AUD100
• promotional offers, free travel or discounts offered in connection with officially-funded travel
• honorary club memberships, and
• personalised gifts with an estimated value above AUD100. While there may be a perception that personalisation makes the gift of little value to others, the gift is still considered reportable if the retail value of the non-personalised item is above AUD100. e.g. an engraved pen.

6.1.7 This list is not exhaustive as it is not possible to provide guidance on what will always be acceptable or unacceptable as it is often dependant on both the value and circumstance in which the gift or benefit was received. The ‘Gift Test’ in Section 6.2 provides further guidance on whether it is acceptable to retain a gift or benefit.

6.1.8 Employees must never accept discounts on liquid assets (such as shares) as a benefit and in connection with their official duties, or because of their position in the department.

6.1.9 HOMs/HOPs, in consultation with EES, may issue post specific guidance, based on local customs and practice, advising on reportable and non-reportable gifts or benefits. In setting local standards, HOMs/HOPs should reinforce the intent of the department's policy on gifts and benefits, which is to ensure no real or apparent conflicts of interest and to preserve the reputation of Australia, the department, and the post.

Reportable versus non-reportable gifts and benefits

6.1.10 All gifts and benefits valued over AUD100 and accepted in connection with official duties are considered ‘reportable’ and must be entered into the department’s Gifts and Benefits Register within 14 days of receipt. While non-reportable items do not have to be entered in the Gifts and Benefits Register, line areas/posts are still encouraged to keep their own inventory of all gifts and benefits received. Employees can contact the Ethics, Integrity, and Professional Standards Section (EES) at giftsandbenefits@dfat.gov.au for further clarification on what constitutes a reportable gift or benefit, or the process for reporting it.

6.1.11 Employees may retain certain gifts and benefits received in connection with their official duties without reporting them if they have an estimated retail value of less than AUD100 (excluding GST) and do not give rise to, or create the perception of, a conflict of interest. In such cases where the gift or benefit does not meet the AUD100 threshold, the Gift Test must still be applied to ensure the offer is still appropriate. These are called ‘non-reportable’ gifts and benefits and may include, but are not limited to:

• perishable items such as flowers or chocolates with an estimated value below AUD100
• promotional items such as calendars, pens, water bottles, keep cups, or notepads with an estimated value below AUD100
• items which have local cultural significance but are of limited commercial value in Australia, such as souvenir items with an estimated value below AUD100
• prizes won in open competition at work-related social events with an estimated value below AUD100; and
• discounts on goods or services which are generally available to members of the public, or the diplomatic community, with an estimated value below AUD100.

6.1.12 Where multiple gifts or benefits from the same party fall below the threshold individually, but collectively total a value of more than AUD100 (excluding GST), consideration should be given to recording those gifts or benefits on the register as a single entry. For example, delegation representatives are each given a box of chocolates, with each box retailing at AUD90. While individually these gifts are below the threshold, collectively they total AUD900.

Gifts and Benefits Register

6.1.13 The disclosure of gifts and benefits is intended to promote transparency and maintain public confidence in the integrity of the department and the APS as an institution. The department’s Gifts and Benefits Register is located on the intranet and must be used for recording all reportable gifts, benefits, sponsored travel, and hospitality received by employees.

6.1.14 Additional guidance on how to access, log and approve requests in the Gifts and Benefits Register can be found in the Gifts and Benefits Register User Guide.

Retaining a gift or benefit for official use

6.1.15 As a general rule, employees should be wary of accepting gifts and benefits offered in connection with their official duties or because of their position in the department. However, the appropriate course of action will depend on the circumstances of the offer and the roles and responsibilities of the employee. A designated approver (as listed in Schedule A) may consider permitting an employee to retain a gift or benefit in an official capacity and valued over AUD100 if:

• The gift or benefit meets all the considerations in the Gift Test (as outlined in Section 6.1)
• the risk that the offer could influence, or be perceived to influence, the decisions or actions of an individual employee is low
• the offer is appropriate to the official position/responsibilities of that employee
• they are satisfied it would not create a real or apparent conflict of interest or damage the reputation of Australia, the department, or the post; and
• where a gift is accepted for cultural or protocol purposes, and to refuse could cause offence.

6.1.16 If the recipient chooses to retain the gift for official use, the gift or benefit becomes property of the Commonwealth. Common examples include, but are not limited to:

• gifts or benefits retained for display in an office, post or in the HOM/HOP residence for example, artwork (including models, sculptures, figurines and vases)
• honorary club memberships that have a demonstrated representative value.

6.1.17 When accepting a gift or benefit, all employees must take into consideration security implications and whether there is potential for the gift or benefit to undermine your personal security or the security controls of your work area. At post, gifts must not be taken into Restricted Areas without prior approval of the Post Security Officer (PSO). HOM/HOPs must also consider the possible security implications of gifts in their local environment and provide guidance.

6.1.18 All gifts approved for retention must be screened before they are brought onto DFAT premises in Australia. Please refer to the Guide to Receiving Official Gifts for more information. Screening must be requested on the Official Gift Inspection Request template.

Retaining a gift or benefit for personal use

6.1.19 As a general rule, employees should not accept gifts and benefits offered in connection with their official duties or because of their position in the department. Where an employee requests to retain a gift in their personal capacity, all of the conditions set out in Sections 6.1.15 to 6.1.21 apply, including that the Gift Test must be used to decide whether it is appropriate to accept a gift or benefit.

6.1.20 Whilst not encouraged, in very limited circumstances employees may request to retain a gift or benefit for personal use. When receiving such requests it is the responsibility of the designated approver to strongly consider the potential implications that acceptance could raise, and the public view that retaining the gift or benefit could comprise the employee’s integrity.

6.1.21 The choice to retain a reportable gift or benefit for personal use must be recorded when seeking approval via the Gifts and Benefits Register. EES will regularly audit the Gifts and Benefits Register with particular focus on gifts retained in a personal capacity. EES maintains the right to request that employees decline, store or dispose of a gift or benefit in accordance with Section 6.1.24.

Valuations

6.1.22 When gifts and benefits are received there must be a transparent process of recording and disclosing what the gift or benefit was, who it came from, who accepted it, and its value. Where it is expected that the value of a gift exceeds AUD100 and retail value is unknown, valuations may be obtained from:

• retail (tax free) value in the country of origin of the donor of the gift and converted to Australian dollars at the current exchange rate;
• current market value of the gift in Australia (excluding GST); and
• post may utilise local experts, at their discretion.

6.1.23 The exact value of some gifts or benefits may be difficult to determine and a best estimate based on the value of a similar item which can be valued, should be used. Where a range of valuations exists for the item, the higher figure should be used.

Declining, storage or disposal of gifts and benefits

6.1.24 Where the designated approver determines that to refuse a gift or benefit would cause embarrassment or offence, and the individual does not wish to retain it for either personal or official use, the gift or benefit becomes property of the Commonwealth and should be stored or disposed of in accordance with the Secretary’s Instructions, the Asset Management Policy and the PGPA Act. If a gift or benefit is valued at AUD5,000 or over it must be recorded in the Asset Register and the value of the item posted to SAP. Where posts do not have capacity to store the gift, they may contact EES to discuss returning the gift to Canberra for storage or disposal.

6.1.25 Where employees accept a gift or benefit in the first instance (for example - not to cause offence) but do not want to retain in either their official or personal capacity, they must still seek approval via the Gifts and Benefits Register and select the proposed action as ‘Decline.’ When considering how to dispose of a gift, thought should be given to:

• the gift remaining on the property of the Commonwealth or agency (for example, on public display)
• donating the gift to the Social Club for a raffle or social function
• donating the gift to a public or private organisation; and
• disposing of the gift in an alternative way that would not offend the giver and complies with the Secretary’s Instructions for the disposal of property (including gifting relevant property).

Culturally significant or unique items

6.1.26 The department often receives unique or culturally significant items such as handmade crafts, tapa mats, religious items, and other personalised items with undeterminable value. Refusal may be inappropriate, especially where unique skill and effort has gone into its production. Destruction should always be considered a last resort and only after other options of preservation are exhausted.

Gifts of money and proceeds from the sale of gifts or benefits

6.1.27 Employees must never accept money as a gift in connection with their official duties or because of their position in the department. This includes items that have, or could have, a monetary value including gift cards, lottery tickets or lottery scratch cards. In extraordinary circumstances, involving cultural sensitivity, where receipt of money as a gift is unavoidable, the recipient must report the gift and the circumstances involving why it wasn’t refused, regardless of the value. Consistent with section 27 and 74 of the PGPA Act, gifts of money and proceeds from the sale of gifts or benefits should not be retained by the department or an individual. The money must not be retained by the recipient and employee should contact accounts.receivable@dfat.gov.au who will arrange for the money to be receipted as ‘Administered Revenue.’

6.2 Gift test

6.2.1 Where employees are considering retaining a gift, benefit, hospitality or sponsored travel, the Gift Test must be applied. The Gift Test offers a series of questions which indicate the sorts of issues that can arise from accepting such offers, including:

• Could I publicly explain why I am accepting the gift, benefit or hospitality or sponsored travel?
• Who is providing the gift, benefit, hospitality or sponsored travel and what is their relationship to me?
• Is the gift, benefit, hospitality or sponsored travel appropriate for your level and/or role?
• Do you perceive the person or organisation providing the gift, benefit, sponsored travel, or hospitality may be seeking to gain an advantage or to influence your decision or actions?
• Do you perceive that the person or organisation is seeking a favour or to ingratiate themselves in some way, in return for the gift, benefit, hospitality or sponsored travel?
• Does its timing coincide with a decision I am about to make?
• Would accepting the gift, benefit, hospitality, or sponsored travel diminish public trust?
• Could there be a security or reputational risk?
• Is the gift, benefit, hospitality or sponsored travel being offered something that might cause adverse media interest or be perceived as creating a personal benefit due your position as a public official?

Where a gift, benefit, hospitality, or sponsored travel does not meet a common-sense test of perception on the above criteria, the request should be declined.

6.2.2 Particular care should also be taken if the person or organisation is in a contractual or regulatory relationship with the department, or if an organisation's primary purpose is to lobby Ministers, Members of Parliament or agencies.

6.3 Hospitality

6.3.1 The reciprocity of hospitality is an integral part of diplomacy. Hospitality is not reportable, and does not require approval via the Gifts and Benefits Register, if the following three criteria are all met: 

• it is in accordance with official duties
• there is a genuine business need to accept
• it passes the Gift Test.

Hospitality proposed to be accepted that does not meet these three criteria must be approved via the Gifts and Benefits Register within 14 days of being accepted.

6.3.2 Hospitality refers to invitations to work-related meals, social functions, sporting, or cultural events where the costs are met wholly or substantially by the host. The term work-related refers to events where an invitation is based on the recipient's official work for the department rather than on a personal relationship or connection. This includes hospitality from Australian and International Government agencies, educational institutions, non-profit humanitarian organisations, broad-based industry groups and international officials.

6.3.3 When considering acceptance of hospitality, the Gift Test (as outlined in section 6.2) should always be applied regardless of the value. You must exercise good judgement and avoid hospitality where a conflict of interest exists, where a favour could be expected in return, or where the offer falls outside the normal pattern of hospitality appropriate to your position/responsibilities.

6.3.4 This is particularly important in the case of offers of hospitality from private or commercial sources. Accepting inappropriate offers of hospitality may give rise to conflicts of interest – for example, where the host is tendering for a contract with the Commonwealth or is seeking an Australian visa for a relative. Particular care should be taken if the person or organisation is in a contractual or regulatory relationship with the department, or if the organisation's primary purpose is to lobby Ministers, Members of Parliament or agencies.

6.3.5 Where offers of hospitality have been accepted any Travel Allowance previously allocated for the relevant meal must be returned through normal travel acquittal processes.

6.3.6 Hospitality in the form of a gift valued over AUD100 (for example, tickets to sporting or cultural events) must be reported via the Gifts and Benefits Register prior to the event taking place. In very limited situations that do not allow for prior approval, retrospective approval must be sought within 14 days of attending the event.

6.3.7 It is best practice – though not required by this policy – for individuals and/or teams to keep an inventory of all hospitality received, even where it does not require delegate approval.

6.4 Sponsored travel

6.4.1 Sponsored travel is where a non-Australian Government entity covers the cost of transport, accommodation, meals etc for an Australian official to attend a location or event. As a general rule, and in accordance with the Australian Public Service Commission (APSC) guidance, the Commonwealth should pay for employees to travel as part of their official duties. However, there may be limited situations where it is appropriate to accept all or part of the sponsored travel. Delegates should only consider requests to undertake sponsored travel in the following circumstances:

• the hospitality meets all the considerations in the Gift Test (as outlined in Section 6.2)
• accepting sponsored travel does not give rise to real or apparent conflicts of interest, particularly from private or commercial sources
• there is no favour expected in return if the travel is accepted
• acceptance of the invitation or travel does not compromise the reputation of Australia or the department
• the proposed activity is consistent with the Government’s or the department’s objectives
• the travel has been offered by a reputable source
• travel to the region/area is not possible using standard means of travel (i.e. private travel via planes or helicopters should only be approved where there are no commercial travel options)
• the benefits to the agency of accepting an offer outweigh the risks acceptance of the offer creates.

6.4.2 Sponsored travel does not refer to situations:

• where an employee is seconded to or provides a specific service to a body or organisation and cost recovery is appropriate.
• a contractor's own company pays for travel to enable work undertaken for the department.
• where an employee covers part of their travel costs for private component of travel (i.e. where an employee takes approved leave after a short-term mission).

6.4.3 As with any other gift or benefit, sponsored travel may be offered in connection with an employee’s official duties or because of their position in the department. Employees must exercise good judgement and caution regarding any offers of sponsored travel and seek approval from the delegate prior to accepting an offer. All requests for sponsored travel must be approved via the Gifts and Benefits Register.

6.5 The Secretary and Deputy Secretaries

6.5.1 In addition to the above provisions of this policy, APSC Gifts and Benefits Reporting Guidelines require all agency heads publicly disclose all gifts or benefits accepted and valued at over $AUD100 (excluding GST). To maintain public confidence in DFAT’s integrity this requirement has been extended to Deputy Secretaries.

6.5.2 The Agency Head Gifts and Benefits Register is maintained by EES and updated on a quarterly basis. If you have any questions or concerns around privacy or the publishing of this information, please contact EES via giftsandbenefits@dfat.gov.au

6.5.3 Where the Secretary or Deputy Secretaries are gifted airline lounge memberships (including those which are invitation-only), these must be recorded in the Agency Heads Gifts and Benefits Register annually or when circumstances change, such as a new or cancelled membership.