Private ruling: Donation
Published: October 2014
Ruling period: Year ended 30 June 2014
Date scheme commenced: 1 July 2013

Ruling: Q1: Are you entitled to claim a deduction for a donation made to entity A? | A1: No.


Relevant legislative provisions: Income Tax Assessment Act 1997 Division 30

Reasons for decision: Summary: Division 30 of the Income Tax Assessment Act 1997 (ITAA 1997) allows a deduction for certain gifts or contributions made to eligible organisations. Types of organisations that can receive tax deductible gifts are determined by income tax law. These organisations are called deductible gift recipients (DGR). To be an allowable deduction, the value of the gift must be $2 or more and the recipient of the gift must meet the definition of a DGR under section 30-227 of the ITAA 1997. A deduction is not available unless the recipient is endorsed by the Commissioner as a DGR or specifically listed by name in the ITAA 1997 or its regulations. Donations to entity A are not an allowable deduction as entity A has not been endorsed as a deductible gift recipient by the Australian Taxation Office nor is it listed by name as a DGR in the tax law. As your donation was not made to an eligible DGR, it does not meet the required conditions of Division 30 of the ITAA 1997. Therefore no deduction is allowed for your donation.

Relevant facts: You donated money to entity A. | Entity A is not listed as a deductible gift recipient.