The TSI Croatia team formulated a number of significant recommendations to address challenges, elaborated in this latest TSI policy brief. As noted in the policy brief, it is necessary to adjust tax frame to needs of development of the third sector. Also, there is clear need for obtaining relevant skills in the sector such as management, leadership, and entrepreneurship that could be integrated in educational programmes. The modernization of social policy seems to be a key issue in opening additional space for TSOs that should go along with the acknowledgement of good governance as a concept. Researchers also raise measuring impact as an important issue, arguing that making a clearer connection between outcomes of programs and projects with their concrete contribution would reduce ‘doubts’ and enhance trust in third sector organizations. Furthermore, demonstrating contributions would increase legitimacy and development of the third sector resulting in changing public awareness. The report is available for download here.