Goods and Services Tax Industry Issues
Charities Consultative Committee

ABN and GST registration - flexibility

  • Please note that the PDF version is the authorised version of this ruling.
    This publication is extracted from the Charities Consultative Committee - issues register. See question 6 of Part 1 of that register. This publication should be read in conjunction with the related content of that register where further context is required.

This publication provides you with the following level of protection:

This publication (excluding appendixes) is a public ruling for the purposes of the Taxation Administration Act 1953.

A public ruling is an expression of the Commissioner's opinion about the way in which a relevant provision applies, or would apply, to entities generally or to a class of entities in relation to a particular scheme or a class of schemes.

If you rely on this ruling, the Commissioner must apply the law to you in the way set out in the ruling (unless the Commissioner is satisfied that the ruling is incorrect and disadvantages you, in which case the law may be applied to you in a way that is more favourable for you - provided the Commissioner is not prevented from doing so by a time limit imposed by the law). You will be protected from having to pay any underpaid tax, penalty or interest in respect of the matters covered by this ruling if it turns out that it does not correctly state how the relevant provision applies to you.

Can a non-profit sub-entity of an entity that is endorsed as a tax concession charity apply the GST concessions that the parent entity has access to?

1. Yes. Since 1 July 2005, charities must be endorsed as a tax concession charity in order to access income tax, fringe benefits tax and GST concessions.

2. A non-profit sub-entity cannot be endorsed as a tax concession charity in its own right because it is only recognised as a separate entity for GST purposes. For all other purposes including income tax, it is treated as part of the parent entity. Consequently, the non-profit sub-entity is entitled to access the GST concessions where the parent entity has been endorsed as a tax concession charity.