philanthropyOz Blog

Australian Business register changes

The Australian Business Register’s ABN Lookup website now makes it much easier for ancillary funds (including Public Ancillary Funds, formerly PPFs) to identify whether a particular DGR is an item 1 DGR or an item 2 DGR. Ancillary funds, which are item 2 DGRs, are legally unable to donate to other ancillary funds.

Using the ABN Lookup, you will now see that each entry for a DGR entity lists whether it is an item 1, Item 2 or item 4 DGR.

• Item 1 refers to lists of funds, authorities and institutions such as public hospitals, overseas aid funds and public museums (including entities listed by name).
• Item 2 describes funds set up solely for providing money, property or benefits for item 1 DGRs. The funds that meet the requirements of item 2 are called ancillary funds.
• Item 4 describes the funds, authorities or institutions eligible to receive certain cultural gifts.

Item 1 DGRs, which are eligible recipients for donations from ancillary funds, are identified as follows: (Organisation) is endorsed as a Deductible Gift Recipient from (date). It is covered by item 1 of the table in section 30-15 of the Income Tax Assessment Act 1997.

Ancillary funds are identified with the following descriptor: (Foundation) is endorsed as a Deductible Gift Recipient from (date). It is covered by item 2 of the table in section 30-15 of the Income Tax Assessment Act 1997.