Limits on foreign political donations are a step closer as an inquiry takes public feedback on changes to the government's proposed reforms.
Electoral matters committee chairman, Liberal National Party senator James McGrath, said it was important Australians had confidence that foreign entities were not influencing democratic processes.
An earlier inquiry resulted in 15 changes to the draft laws being recommended, including protections for charities and not-for-profit groups which advocate on public issues.
"Labor made it clear from the beginning that political donation reform should be achieved without undermining the important work of Australia's trusted charities," Labor spokesman Don Farrell told AAP.
The recommended amendments included tighter definitions of "political purpose" and "political expenditure" and the setting up of a "transparency register" for entities which will be overseen by the Australian Electoral Commission.
Labor has already voluntarily stopped taking foreign donations and wants the Liberal Party to follow suit.
Submissions to the inquiry close on September 27.
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