Non-Profit News Service No. 0380 - Prescribed private funds - transitional period closing soon

Trustees of private ancillary funds that were prescribed private funds on 30 September 2009 are reminded that the transitional period to amend their fund's governing rules to comply with the Private ancillary fund guidelines closes on 1 October 2012.

The guidelines set out rules that private ancillary funds and their trustees must comply with if the funds are to be, or are to remain, endorsed as deductible gift recipients (DGRs). Failure to comply with the rules in the guidelines means that:

the trustee and directors of trustees may incur administrative penalties
the fund will no longer be entitled to endorsement.

Trustees need to review their trust deeds and amend them if necessary. No changes are required to your fund's rules if the fund can already comply with the guidelines under its existing rules.

To work out whether to amend your fund's rules please refer to the Private ancillary funds - frequently asked questions on our website, in particular to questions 1.11 and 1.12.

You must notify us of any change to your fund's governing rules in the approved form within 21 days of the change.

More information

For more information about key reforms for the non-profit sector, refer to Private ancillary funds.

For more information about the Non-Profit News Service, including how to subscribe and links to previous articles, refer to About the Non-Profit News Service.

We encourage your feedback and suggestions for future topics to be covered by the news service. You can do this by:

emailing us at npc-publications@ato.gov.au
phoning us on 1300 130 248.

Last Modified: Monday, 27 August 2012

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