Gift funds - frequently asked questions

DGRs endorsed as a whole

Are DGRs endorsed as a whole required to maintain a gift fund?

No. From 12 April 2007, DGRs endorsed as a whole are not required to maintain a gift fund, including DGRs endorsed before 12 April 2007. However, a DGR endorsed as a whole may choose to maintain a gift fund.

While DGRs endorsed as a whole are no longer required to maintain a gift fund, they are required to transfer all remaining gifts, deductible contributions and any money received in respect of such gifts and contributions to another DGR on winding up or on revocation of endorsement, whichever occurs first. The organisation must be required to do this by a law, its constituent documents or governing rules.

DGRs endorsed as a whole that cease to maintain a gift fund (including DGRs endorsed before 12 April 2007) may need to amend their winding up and revocation of endorsement clauses to satisfy this requirement. There is no need to advise the ATO of the amendment.

For more information about winding up or revocation of endorsement of DGRs endorsed as a whole, refer to The endorsement process for deductible gift recipients (NAT 3193).