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Edited version of your written advice
Authorisation Number: 1051460960399
Date of advice: 6 December 2018
Ruling
Subject: Community Development Grants Program payments
The Commissioner was asked three questions about funding received from Commonwealth:
(1) Is the funding assessable as ordinary income under section 6-5 of the Income Tax Assessment Act 1997?
(2) If funding is not assessable under section 6-5, is it included in assessable income under section 15-10 ITAA 1997 as a bounty or subsidy received in relation to carrying on a business?
(3) If funding is not assessable under section 15-10, is it included in assessable income under Division 20 ITAA 1997 as an assessable recoupment?
The Commissioner has ruled on each of the questions.