Federal Treasurer Josh Frydenberg has struck a deal with his state and territory counterparts to cut red tape for thousands of not-for-profits.

The agreement follows the natural disaster royal commission, which highlighted the crucial role charities played in crisis recovery efforts, but warned of the complexities of navigating regulations across the country.

The changes will simplify financial reporting requirements and create a single registration point for national charities.

Mr Frydenberg said slashing "inconsistent and outdated" regulations across jurisdictions would save the charitable fundraising sector $13.3 million a year.

Cassandra Goldie from the Australian Council of Social Service described the changes as a welcome first step.

"Substantial reform to fundraising regulation has been recommended by multiple reviews, inquiries and a royal commission," she said.

"Despite this welcome proposal, there is still significant work to do to comprehensively reform the hodgepodge of fundraising laws that apply to charities across Australia."

Australian Associated Press