DGR/tax-exempt endorsed entities should undertake a review of founding documents

By James Patto and Joanne Dunne

A recent case has underlined the importance of a regular review of founding documents to ensure that those documents continue to meet your not-for-profit organisation’s objectives and accurately reflect the activities that the organisation is carrying out.

The Full Federal Court decision in Commissioner of Taxation v Cancer and Bowel Research Association Inc. as trustee for the Cancer and Bowel Research Trust [2013] FCAFC 140 confirmed that when the Australian Taxation Office (ATO) is considering whether to revoke an endorsement for a tax exemption, it must consider the founding documents of the entity concerned in their form at the time it is making that revocation determination.

In the case, (which was an appeal by the Commissioner from the decision in the Administrative Appeals Tribunal reported at [2013] AATA 336), the Full Federal Court confirmed that the ATO was not able to revoke the endorsement based on past events or events that were no longer subsisting. Rather, it had to first make a revocation decision considering the facts and documents in existence at the time the revocation decision was being considered…

If you are registered and logged in to the site, click on the link below to read the rest of the Minter Ellison briefing. If not, please register or sign in with your details below.  

Sign in or Register to continue reading this article

Sign in

Register

It's quick, easy and free!

It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.

Register now

Why register to The Lawyer

 

Industry insight

In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.

 

Market intelligence

Identify the major players and business opportunities within a particular region through our series of free, special reports.

 

Email newsletters

Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.

More relevant to you

To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.

Briefings from Minter Ellison

View more briefings from Minter Ellison

Overview

Level 19, Aurora Place
88 Phillip Street
Sydney
2000
Australia
http://www.minterellison.com

Jurisdiction: Australia
No. of offices: 10
No. of qualified lawyers: 791