Private ancillary funds - frequently asked questions

Introduction

These frequently asked questions are provided to help trustees and directors of trustees understand the laws administered by the Australian Taxation Office (ATO) relating to private ancillary funds (private AFs). Private AFs include those funds formerly called prescribed private funds (PPFs). The web page provides general assistance and does not cover all possibilities.

If a trustee or director of a trustee relies on guidance in these frequently asked questions that is found to be incorrect or misleading, and they make a mistake as a result, the trustee or director will have to meet their obligations under the law but will be protected against penalties.

For more information about the provision of advice and guidance by the ATO, refer to Practice Statement Law Administration PS LA 2008/3.

The frequently asked questions are grouped under four key topics:

• establishment
• distribution
• compliance
• voluntary disclosure.