Country Idealist Profiles

NSW – Some recent information about funding: Charitable Trusts Amendment Bill

The trust deeds of most PPFs and ancillary funds do not allow the trustees to donate to bodies that are not charitable at law. If the trustees make grants to bodies that are not considered charitable at law, then the trustees are technically in breach of their trust deeds.
Trustees are generally unable to alter the trust deeds to widen the list of potential donees so as to reflect the new tax arrangements. This is frustrating for the trustees of a number of PPFs and ancillary funds who would like to be able to give to a wider range of DGRs including bodies such as the Opera House or the Powerhouse Museum.
This Bill will give trustees of existing and future PPFs and ancillary funds (referred to in the Bill as “prescribed trusts”), the power to give to any DGR recognised by the Commonwealth legislation. These DGRs are referred to in the Bill as “eligible recipients”.
The Bill also expands the distribution power of existing prescribed trusts to give to DGRs. However it does not authorise a prescribed trust to make grants that are inconsistent with specific prohibitions in their trust deeds on the making of grants to certain kinds of bodies.


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

%d bloggers like this: