House of Representatives

Tax Laws Amendment (2007 Measures No. 4) Bill 2007

Taxation (Trustee Beneficiary Non-disclosure Tax) Bill (No. 1) 2007

Taxation (Trustee Beneficiary Non-disclosure Tax) Act (No. 1) 2007

Taxation (Trustee Beneficiary Non-disclosure Tax) Bill (No. 2) 2007

Taxation (Trustee Beneficiary Non-disclosure Tax) Act (No. 2) 2007

Explanatory Memorandum

(Circulated by authority of the Treasurer, the Hon Peter Costello MP)

Chapter 6 Deductible gift recipients

Outline of chapter

6.1 Schedule 6 to this Bill amends the Income Tax Assessment Act 1997 (ITAA 1997) to update the list of deductible gift recipients (DGRs) to include two new organisations. This Schedule also reflects a name change of one organisation listed as a DGR under section 30-55 of the ITAA 1997.

Context of amendments

6.2 The income tax law allows taxpayers to deduct gifts of $2 or more made to DGRs. To be a DGR, an organisation must fall within a category of organisations set out in Division 30 of the ITAA 1997, or be listed by name under that Division.

6.3 DGR status assists relevant funds and organisations to attract public support for their activities.

Summary of new law

6.4 These amendments add two organisations to the list of specifically listed DGRs. Gifts of $2 or more, made to these organisations within each organisation's eligible time period, are tax deductible.

6.5 The amendments also update the ITAA 1997 to reflect a name change of one organisation specifically listed as a DGR.

Detailed explanation of new law

6.6 Schedule 6 lists the organisations in Table 6.1 as DGRs. [Schedule 6, item 2]

Table 6.1
Name of fund Date of effect Special conditions
Australian Peacekeeping Memorial Project Incorporated 30 April 2007 The gift must be made before 1 January 2009.
Social Ventures Australia Limited 4 May 2007  

6.7 The Australian Peacekeeping Memorial Project Incorporated was established for the construction of a national memorial in Canberra to commemorate and celebrate Australian peacekeeping. The memorial will commemorate Australia's contribution to international peacekeeping since the commitment to the first United Nation peacekeeping mission on 14 September 1947. [Schedule 6, items 2 and 4]

6.8 Social Ventures Australia Limited seeks to improve the effectiveness of other charitable organisations by providing a tailored combination of financial support, business skills development and mentoring. Its focus is on helping charities to achieve sustainable outcomes for the communities they serve and to increase their effectiveness as charitable organisations. [Schedule 6, items 2 and 6]

Reflecting a name change of a specifically listed DGR

6.9 Currently, Mawson's Huts Foundation Limited is listed under its previous name, AAP Mawson's Huts Foundation Limited. Schedule 6 updates the ITAA 1997 to reflect its name change to Mawson's Huts Foundation Limited. [Schedule 6, items 1, 3 and 5]

6.10 Mawson's Huts Foundation Limited was established to raise funds to preserve, restore and repair the huts at Cape Denison in the far eastern part of the Australian Antarctic Territory. The huts were built and occupied by the Australasian Antarctic Expedition of 1911-14 led by Sir Douglas Mawson. [Schedule 6, items 1, 3 and 5]

Application and transitional provisions

6.11 These amendments to list the organisations in Table 6.1 apply from the dates of effect shown in those tables. [Schedule 6, items 2, 4 and 6]


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