Income Tax Assessment Act 1997

CHAPTER 2 - LIABILITY RULES OF GENERAL APPLICATION

PART 2-5 - RULES ABOUT DEDUCTIBILITY OF PARTICULAR KINDS OF AMOUNTS

Division 30 - Gifts or contributions

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View history note

Subdivision 30-A - Deductions for gifts or contributions

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SECTION 30-15 Table of gifts or contributions that you can deduct

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30-15(1)
You can deduct a gift or contribution that you make in the situations set out in the following table. It tells you:

• who the recipient of the gift or contribution can be; and

• the type of gift or contribution that you can make; and

• how much you can deduct for the gift or contribution; and

• any special conditions that apply.

30-15(2)

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A testamentary gift or contribution is not deductible under this section.

Note:

Subdivision 30-DA deals with the deductibility of contributions and gifts to political parties, independent candidates and members.

Deductible gifts or contributions
Recipient	Type of gift or contribution	How much you can deduct	Special conditions
1	A fund, authority or institution covered by an item in any of the tables in Subdivision 30-B.	A gift of: (a) money; or (b) property (including trading stock) that you purchased during the 12 months before making the gift; or (c) an item of your trading stock if: • the gift is a disposal of the item outside the ordinary course of your business; and • no election has been made, or is made, in relation to the item under Subdivision 385-E (about electing to spread or defer profit from the forced disposal or death of live stock); or (d) property valued by the Commissioner at more than $5,000; or (e) shares that you have acquired in a listed public company if: • the shares are listed for quotation in the official list of a stock exchange that is listed under the heading " Australia " in regulations made for the purposes of the definition of approved stock exchange; and • the *market value of the shares on the day you made the gift is $5,000 or less; and • you acquire the shares at least 12 months before making the gift.	(a) if the gift is money - the amount you are giving; or (b) if the gift is property (except trading stock covered by paragraph (c), property covered by paragraph (d) or shares covered by paragraph (e)) - the lesser of the market value of the property on the day you made the gift and the amount you paid for the property; or (c) if the gift is an item of your trading stock: • that you disposed of outside the ordinary course of your business; and • for which no election has been made, or is made, in relation to the item under Subdivision 385-E; the market value of the item on the day you made the gift; or (d) if the gift is property valued by the Commissioner at more than $5,000 and you did not purchase the property during the 12 months before making the gift - the value of the property as determined by the Commissioner; or (e) if the gift is shares described in paragraph (e) of the previous column - the market value of the shares on the day you made the gift.	(a) the fund, authority or institution must be in Australia; and (aa) the fund, authority or institution must either meet the requirements of section 30-17 or be mentioned by name in the relevant table item in Subdivision 30-B; and (b) the value of the gift must be $2 or more; and (c) any conditions set out in the relevant table item in Subdivision 30-B must be satisfied; and (d) if the property is to be valued by the Commissioner - the requirements of section 30-212 are satisfied.
2	An *ancillary fund established and maintained under a will or instrument of trust solely for: (a) the purpose of providing money, property or benefits: • to a fund, authority or institution gifts to which are deductible under item 1 of this table; and • for any purposes set out in the item of the table in Subdivision 30-B that covers the fund, authority or institution; or (b) the establishment of such a fund, authority or institution.	A gift of: (a) money; or (b) property (including trading stock) that you purchased during the 12 months before making the gift; or (c) an item of your trading stock if: • the gift is a disposal of the item outside the ordinary course of your business; and • no election has been made, or is made, in relation to the item under Subdivision 385-E (about electing to spread or defer profit from the forced disposal or death of live stock); or (d) property valued by the Commissioner at more than $5,000; or (e) shares that you have acquired in a listed public company if: • the shares are listed for quotation in the official list of a stock exchange that is listed under the heading " Australia " in regulations made for the purposes of the definition of approved stock exchange; and • the *market value of the shares on the day you made the gift is $5,000 or less; and • you acquire the shares at least 12 months before making the gift.	(a) if the gift is money - the amount you are giving; or (b) if the gift is property (except trading stock covered by paragraph (c), property covered by paragraph (d) or shares covered by paragraph (e)) - the lesser of the market value of the property on the day you made the gift and the amount you paid for the property; or (c) if the gift is an item of your trading stock: • that you disposed of outside the ordinary course of your business; and • for which no election has been made, or is made, in relation to the item under Subdivision 385-E; the market value of the item on the day you made the gift; or (d) if the gift is property valued by the Commissioner at more than $5,000 and you did not purchase the property during the 12 months before making the gift - the value of the property as determined by the Commissioner; or (e) if the gift is shares described in paragraph (e) of the previous column - the market value of the shares on the day you made the gift.	(a) the value of the gift must be $2 or more; and (b) the terms of the will or trust must allow the trustee to invest money that the ancillary fund receives because of the gift only in a way that an *Australian law allows trustees to invest trust money; and (c) the ancillary fund must meet the requirements of section 30-17; and (d) if the property is to be valued by the Commissioner - the requirements of section 30-212 are satisfied.
3	(Repealed by No 65 of 2006)
4	(a) the Australiana Fund; or (b) a public library in Australia; or (c) a public museum in Australia; or (d) a public art gallery in Australia; or (e) an institution in Australia consisting of a public library, a public museum and a public art gallery or any 2 of them.	A gift of property (except an estate or interest in land or in a building or part of a building).	The general rule is that you can deduct the average of the *GST inclusive market values (as reduced under subsection (3) if that subsection applies) specified in the written valuations you get from approved valuers. Subdivision 30-C sets out: (a) how a person becomes an approved valuer; and (b) the exceptions to the general rule; and (c) the situations when the amount you can deduct is reduced. If the property is jointly owned, see section 30-225 to work out how much of the gift you can deduct.	(a) the property must be accepted by the recipient for inclusion in a collection it is maintaining or establishing; and (b) the value of the gift must be $2 or more; and (ba) the institution must meet the requirements of section 30-17, unless it is the Australiana Fund; and (c) you must satisfy the valuation requirements in section 30-200, unless section 30-205 (about the proceeds of the sale being assessable) applies.
5	The Commonwealth (for the purposes of Artbank).	A gift of property (except an estate or interest in land or in a building or part of a building).	The general rule is that you can deduct the average of the *GST inclusive market values (as reduced under subsection (3) if that subsection applies) specified in the written valuations you get from approved valuers. Subdivision 30-C sets out: (a) how a person becomes an approved valuer; and (b) the exceptions to the general rule; and (c) the situations when the amount you can deduct is reduced. If the property is jointly owned, see section 30-225 to work out how much of the gift you can deduct.	(a) the property must be accepted by the Commonwealth for inclusion in a collection maintained, or being established, for the purposes of Artbank; and (b) you must satisfy the valuation requirements in section 30-200, unless section 30-205 (about the proceeds of the sale being assessable) applies.
6	(a) the National Trust of Australia (New South Wales); or (b) the National Trust of Australia (Victoria); or (c) National Trust of Australia (Queensland) Limited; or (d) the National Trust of South Australia; or (e) the National Trust of Australia (W.A.); or (f) the National Trust of Australia (Tasmania); or (g) the National Trust of Australia (Northern Territory); or (h) the National Trust of Australia (A.C.T.); or (i) the Australian Council of National Trusts.	A gift of a place included in: (a) the National Heritage List, or the Commonwealth Heritage List, under the Environment Protection and Biodiversity Conservation Act 1999 ; or (b) the Register of the National Estate under the Australian Heritage Council Act 2003 .	The general rule is that you can deduct the average of the *GST inclusive market values (as reduced under subsection (3) if that subsection applies) specified in the written valuations you get from approved valuers. Subdivision 30-C sets out: (a) how a person becomes an approved valuer; and (b) the exceptions to the general rule; and (c) the situations when the amount you can deduct is reduced. If the place is jointly owned, see section 30-225 to work out how much of the gift you can deduct.	(a) the place must be accepted by the recipient for the purpose of preserving it for the benefit of the public; and (b) the value of the gift must be $2 or more; and (c) you must satisfy the valuation requirements in section 30-200, unless section 30-205 (about the proceeds of the sale being assessable) applies.
7	A *deductible gift recipient that is a fund, authority or institution covered by item 1 or 2 of this table.	A contribution of: (a) money, if the amount is more than $150; or (b) property that you purchased during the 12 months before making the contribution, if the lesser of: • the market value of the property on the day you made the contribution; and • the amount you paid for the property; is more than $150; or (c) property valued by the Commissioner at more than $5,000, if you did not purchase the property during the 12 months before making the contribution; or (ca) shares that you have acquired in a listed public company if: • the shares are listed for quotation in the official list of a stock exchange that is listed under the heading " Australia " in regulations made for the purposes of the definition of approved stock exchange; and • the market value of the shares on the day you made the contribution is more than $150 and less than or equal to $5,000; and	(a) if the contribution is money - the amount of the contribution, reduced by the *GST inclusive market value, on the day you made the contribution, of the right to attend, or participate in, the fund-raising event; or (b) if the contribution is property that you purchased during the 12 months before making the contribution - the lesser of: • the market value of the property on the day you made the contribution; and • the amount you paid for the property; reduced by the GST inclusive market value, on the day you made the contribution, of the right to attend, or participate in, the fund-raising event; or (c) if the contribution is property valued by the Commissioner at more than $5,000 and you did not purchase the property during the 12 months before making the contribution - the value of the property as determined by the Commissioner, reduced by the GST inclusive market value, on the day you made the contribution, of the right to attend, or participate in, the fund-raising event; or	(a) if the contribution is money - the GST inclusive market value, on the day you made the contribution, of the right to attend, or participate in, the fund-raising event must not exceed the lesser of: • 20% of the amount of the contribution; and • $150; and (b) if the contribution is property that you purchased during the 12 months before making the contribution - the GST inclusive market value, on the day you made the contribution, of the right to attend, or participate in, the fund-raising event must not exceed the lesser of: • 20% of the lesser of the market value of the property on the day you made the contribution and the amount you paid for the property; and • $150; and (c) if the contribution is property valued by the Commissioner at more than $5,000 and you did not purchase the property during the 12 months before making the contribution - the GST inclusive market value, on the day you made the contribution, of the right to attend, or participate in, the fund-raising event must not exceed $150; and
		• you acquire the shares at least 12 months before making the contribution; where: (d) the contribution is not a gift; and (e) either: • the contribution is made in return for a right permitting you to attend, or participate in, a particular *fund-raising event in Australia; or • the contribution is made in return for a right permitting an individual (other than you) to attend, or participate in, a particular fund-raising event in Australia.	(ca) if the contribution is shares described in paragraph (ca) of the previous column - the market value of the shares on the day you made the contribution, reduced by the GST inclusive market value, on the day you made the contribution, of the right to attend, or participate in, the fund-raising event.	(ca) if the contribution is shares described in paragraph (ca) of the column headed " Type of gift or contribution " - the GST inclusive market value, on the day you made the contribution, of the right to attend, or participate in, the fund-raising event must not exceed the lesser of: • 20% of the market value of the shares on the day you made the contribution; and • $150; and (d) if, instead of making the contribution, you had made a gift of money to the fund, authority or institution, and: • the amount of the gift had been more than $2; and • the gift had been made for the same purpose for which funds were to be raised by the fund-raising event; you could have deducted the gift under item 1 or 2 of this table; and (e) you must be an individual; and (f) you cannot deduct more than 2 contributions in relation to the same fund-raising event; and (g) if the property is to be valued by the Commissioner - the requirements of section 30-212 are satisfied.

8	A *deductible gift recipient that is a fund, authority or institution covered by item 1 or 2 of this table.	A contribution of money, if: (a) the amount is more than $150; and (b) the contribution is not a gift; and (c) you made the contribution by way of consideration for the supply of goods or services; and (d) you made the contribution because you were the successful bidder at an auction that: • was a particular fund-raising event in Australia; or • was held at a particular fund-raising event in Australia; and (e) the amount of the contribution exceeds the GST inclusive market value, on the day you made the contribution, of the goods or services.	The amount of the contribution, reduced by the GST inclusive market value, on the day you made the contribution, of the goods or services.	(a) the GST inclusive market value, on the day you made the contribution, of the goods or services must not exceed the lesser of: • 20% of the amount of the contribution; and • $150; and (b) if, instead of making the contribution, you had made a gift of money to the fund, authority or institution, and: • the amount of the gift had been more than $2; and • the gift had been made for the same purpose for which funds were to be raised by the fund-raising event; you could have deducted the gift under item 1 or 2 of this table; and (c) you must be an individual.

View history note

History

S 30-15(2) amended by No 15 of 2017, s 3 and Sch 4 item 27, by substituting " National Trust of Australia (Queensland) Limited " for " the National Trust of Queensland " in para (c) of table item 6, column headed " Recipient " , applicable in relation to gifts or contributions made on or after 1 July 2014.

S 30-15(2) amended by No 12 of 2012, s 3 and Sch 6 items 14 - 15, by repealing note 1 and renumbering note from note 2, effective 21 March 2012. Note 1 formerly read:

Note 1:

Subdivision 30-D deals with the deductibility of testamentary gifts under the Cultural Bequests Program.

S 30-15(2) amended by No 147 of 2011, s 3 and Sch 8 items 2 and 3, by substituting " An *ancillary fund " for " A public fund, or a *private ancillary fund, " in table item 2, column headed " Recipient " and inserting " ancillary " before " fund " (wherever occurring) in table item 2, column headed " Special conditions " , effective 1 January 2012. No 147 of 2011, s 3 and Sch 8 items 37 to 41 contain the following transitional provisions:

Division 3 - Transitional provisions
37 Definitions
37
In this Division:
commencement time
means the time at which this item commences. [ CCH Note: Commencement was 1 January 2012.]

constitutional corporation
has the meaning given by the Income Tax Assessment Act 1997 .

private ancillary fund
has the meaning given by section 426-105 in Schedule 1 to the Taxation Administration Act 1953 .

public ancillary fund
has the meaning given by section 426-102 in Schedule 1 to the Taxation Administration Act 1953 .

public ancillary fund guidelines
has the meaning given by section 426-103 in Schedule 1 to the Taxation Administration Act 1953 .
38 Application of Division
38
This Division applies to a trust if, just before the commencement time, the trust was:

(a) a public fund covered by item 2 of the table in subsection 30-15(2) of the Income Tax Assessment Act 1997 ; and

(b) endorsed as a deductible gift recipient under section 30-120 of that Act; and

(c) not a private ancillary fund. 39 Transitional provision - trustees need not be constitutional corporations
39
Paragraph 426-102(1)(a) (trustees of public ancillary funds must be constitutional corporations, Public Trustees or prescribed) and sections 426-125 to 426-165 (Suspension and removal of trustees) in Schedule 1 to the Taxation Administration Act 1953 do not apply to the trust during the period:

(a) starting at the commencement time; and

(b) ending at the earlier of the following:

(i) the time (at or after the commencement time) the trust first satisfies the requirements of that paragraph (disregarding this item);

(ii) the first time any of the trustees of the trust revoke the agreement mentioned in item 40 in accordance with subsection 426-102(2) in that Schedule.
40 Transitional provision - agreement to comply with public ancillary fund guidelines
40(1)
For the purposes of Subdivision 426-D in Schedule 1 to the Taxation Administration Act 1953 , each of the trustees of the trust is taken to have agreed, at the commencement time and in accordance with paragraph 426-102(1)(b) in that Schedule, to comply with the rules in the public ancillary fund guidelines, as in force from time to time.

40(2)
To avoid doubt, subitem (1) does not prevent a trustee from revoking that agreement at a later time as mentioned in paragraph 426-102(1)(c) in that Schedule.
41 Transitional provision - transfer of property
41
For the purposes of item 2 of the column headed " Recipient " of the table in subsection 30-15(2) of the Income Tax Assessment Act 1997 , disregard a transfer of all of the property of the trust to another public ancillary fund if:

(a) the other fund is a deductible gift recipient; and

(b) at least one of the following subparagraphs applies:

(i) every trustee of the other fund is a *constitutional corporation;

(ii) the only trustee of the other fund is the Public Trustee of a State or Territory, or is prescribed by the regulations for the purposes of subparagraph 426-102(1)(a)(ii) in Schedule 1 to the Taxation Administration Act 1953 ; and

(c) the transfer happens during the period mentioned in item 39.

S 30-15(2) amended by No 88 of 2009, s 3 and Sch 2 items 4 and 5, by substituting " *private ancillary fund " for " *prescribed private fund " in the column headed " Recipient " in table item 2 and omitting " , unless the fund is a prescribed private fund " after " requirements of section 30-17 " in para (c) of the cell in the column headed " Special conditions " in table item 2, effective 1 October 2009. No 88 of 2009, s 3 and Sch 2 items 25 to 31 contain the following transitional provisions:

Division 1 - Preliminary
25 Definitions
25
In this Part:
commencement time
means the time at which this item commences. [ CCH Note: Commencement was 1 October 2009.]

constitutional corporation
has the meaning given by the Income Tax Assessment Act 1997 .

deductible gift recipient
has the meaning given by the Income Tax Assessment Act 1997 .

prescribed private fund
has the meaning given by the Income Tax Assessment Act 1997 (as in force just before the commencement time).

private ancillary fund
has the meaning given by section 426-105 in Schedule 1 to the Taxation Administration Act 1953 .

private ancillary fund guidelines
has the meaning given by section 426-110 in Schedule 1 to the Taxation Administration Act 1953 .

Division 2 - Declared prescribed private funds
26 Transitional - prescribed private fund declarations
26(1)
The Minister may, by legislative instrument, declare a trust to be a prescribed private fund.

26(2)
Despite subsection 12(2) of the Legislative Instruments Act 2003 , the declaration has effect during the period:

(a) starting at the time specified in the declaration, which must be before the commencement time; and

(b) ending just before the commencement time.

Division 3 - Transitional private ancillary funds
27 Application of Division
27
This Division applies to a trust if, just before the commencement time, the trust was a prescribed private fund (whether or not because of a declaration made under item 26). 28 Transitional - trustees need not be constitutional corporations
28
Paragraph 426-105(1)(a) (trustees of private ancillary funds must be constitutional corporations) and sections 426-125 to 426-165 (Suspension and removal of trustees) in Schedule 1 to the Taxation Administration Act 1953 do not apply to the trust during the period:

(a) starting at the commencement time; and

(b) ending at the earlier of the following:

(i) the time (at or after the commencement time) the trust first satisfies the requirements of that paragraph (disregarding this item);

(ii) the first time any of the trustees of the trust revoke the agreement mentioned in item 29 in accordance with subsection 426-105(2) in that Schedule.
29 Transitional - agreement to comply with private ancillary fund guidelines
29(1)
For the purposes of Subdivision 426-D in Schedule 1 to the Taxation Administration Act 1953 , each of the trustees of the trust is taken to have agreed, at the commencement time and in accordance with paragraph 426-105(1)(b) in that Schedule, to comply with the rules in the private ancillary fund guidelines, as in force from time to time.

29(2)
To avoid doubt, subitem (1) does not prevent a trustee from revoking that agreement at a later time as mentioned in paragraph 426-105(1)(c) in that Schedule.
30 Transitional - endorsement as a deductible gift recipient
30(1)
The trust is taken to have been endorsed as a deductible gift recipient under section 30-120 of the Income Tax Assessment Act 1997 at the commencement time.

30(2)
To avoid doubt, subitem (1) does not prevent the Commissioner from revoking that endorsement at a later time under section 426-55 in Schedule 1 to the Taxation Administration Act 1953 .
31 Transitional - transfer of property
31
For the purposes of item 2 of the column headed " Recipient " of the table in subsection 30-15(2) of the Income Tax Assessment Act 1997 , disregard a transfer of all of the property of the trust to another private ancillary fund if:

(a) the other fund is a deductible gift recipient; and

(b) every trustee of the other fund is a constitutional corporation; and

(c) the transfer happens during the period mentioned in item 28.

S 30-15(2) amended by No 78 of 2007 , s 3 and Sch 6 items 1 to 9, by substituting " $150 " for " $250 " in paras (a) and (b) of the column headed " Type of gift or contribution " in table item 7, substituting " 20% " for " 10% " and " $150 " for " $100 " in para (a) of the column headed " Special conditions " in table item 7, substituting " 20% " for " 10% " and " $150 " for " $100 " in para (b) of the column headed " Special conditions " in table item 7, substituting " $150 " for " $100 " in para (c) of the column headed " Special conditions " in table item 7, substituting " $150 " for " $250 " in para (a) of the column headed " Type of gift or contribution " in table item 8, and substituting " 20% " for " 10% " and " $150 " for " $100 " in para (a) of the column headed " Special conditions " in table item 8, applicable, and taken to have applied, in relation to contributions made on or after 1 January 2007.

S 30-15(2) amended by No 78 of 2007 , s 3 and Sch 4 items 1 to 9, by inserting para (e) at the end of the column headed " Type of gift or contribution " in table item 1, substituting " , property covered by paragraph (d) or shares covered by paragraph (e) " for " or property covered by paragraph (d) " in para (b) and inserting para (e) in the column headed " How much you can deduct " in table item 1, inserting para (e) at the end of the column headed " Type of gift or contribution " in table item 2, substituting " , property covered by paragraph (d) or shares covered by paragraph (e) " for " or property covered by paragraph (d) " in para (b) and inserting para (e) in the column headed " How much can you deduct " in table item 2, inserting para (ca) after para (c) in the column headed " Type of gift or contribution " in table item 7 and inserting para (ca) after para (c) in the column headed " Special conditions " in table item 7, applicable in relation to gifts and contributions made in an income year commencing on or after 21 June 2007.

S 30-15(2) amended by No 65 of 2006, s 3 and Sch 4 items 4 to 6, by inserting Note 2 (before the table) and repealing table item 3, applicable to contributions or gifts made on or after 22 June 2006. Table item 3 formerly read:

Recipient

3. A political party that is registered under Part XI of the Commonwealth Electoral Act 1918

Type of gift or contribution

A contribution of:

(a) money; or

(b) property that you purchased during the 12 months before making the contribution.

How much you can deduct

(a) if the contribution is money - the amount of the contribution; or

(b) if the contribution is property - the lesser of the market value of the property on the day you made the contribution and the amount you paid for the property.

Special conditions

(a) a company cannot deduct a contribution it makes; and

(b) the value of the contribution must be $2 or more; and

(c) you cannot deduct more than $100 of contributions for any one income year.

S 30-15(2) amended by No 95 of 2004, No 86 of 2003, No 58 of 2000, No 176 of 1999 and No 179 of 1999.

30-15(3)

View history reference

For the purposes of items 4, 5 and 6 of the table in subsection (2), the ^* GST inclusive market values of the property or place in question are reduced by 1/11 if you would have been entitled to an ^* input tax credit if:

(a) you had ^* acquired the property or place at the time you made the gift; and

(b) your acquisition had been for a ^* creditable purpose.

View history note

30-15(4)

View history reference

For the purposes of item 7 of the table in subsection (2), in working out the ^* GST inclusive market value of the right in question, disregard anything that would prevent or restrict conversion of the right to money.

View history note

30-15(5)

View history reference

For the purposes of item 8 of the table in subsection (2), in working out the ^* GST inclusive market value of the goods or services in question, disregard anything that would prevent or restrict conversion of the goods or services to money.

View history note

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