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Edited version of private advice
Authorisation Number: 1051669978895
Date of advice: 01 May 2020
Ruling
Subject: Income tax exempt - public ancillary fund
Question 1
Will a distribution of money from the public ancillary fund (the Fund) be a permissible distribution?
Answer
Yes
Question 2
If the answer to question one is yes, will such distribution of money form part of the Fund's minimum annual distribution for the purpose of Guideline 19 of the Public Ancillary Fund Guidelines 2011 (as amended)?
Answer
Yes
This ruling applies for the following periods:
Year ended 30 June 2020
Year ended 30 June 2021
The scheme commences on:
17 March 2020
Relevant facts and circumstances
This ruling is based on the facts stated in the description of the scheme that is set out below. If your circumstances are materially different from these facts, this ruling has no effect and you cannot rely on it. The fact sheet has more information about relying on your private ruling.
The Fund is a public ancillary fund that intends to make a distribution to an appeal established by an entity that is a deductible gift recipient (DGR).
Relevant legislative provisions
Taxation Administration Act 1953 subsection 426-102(1) of Schedule 1
Taxation Administration Act 1953 section 426-103 of Schedule 1
Reasons for decision
While these reasons are not part of the private ruling, we provide them to help you to understand how we reached our decision.
Question 1
A distribution of money from the Fund to the DGR entity for Appeal will be a permissible distribution.
Question 2
The distribution of money will form part of the Fund's minimum annual distribution for the purpose of Guideline 19 of the Public Ancillary Fund Guidelines 2011 (as amended).
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