Document ID: chunk:federal_register_of_legislation:C2010C00406:clause:2_22:p1
Version: federal_register_of_legislation:C2010C00406
Segment Type: clause
Provision Reference: sch 2 cl 22 (pt 1/6)
Character Range: 13467–16540

22  At the end of Division 426 in Schedule 1
Add:

Subdivision 426‑D—Private ancillary funds

Guide to Subdivision 426‑D

426‑100  What this Subdivision is about

      This Subdivision deals with a type of private philanthropic trust fund known as a private ancillary fund.
      The Minister may make guidelines determining when private ancillary funds are entitled to be endorsed as deductible gift recipients.
      This Subdivision also provides for:

                (a) penalties for trustees who fail to comply with the private ancillary fund guidelines, and the liability of directors of trustees to pay those penalties in certain circumstances; and
                (b) powers for the Commissioner to suspend or remove trustees who breach their obligations.

Table of sections

Private ancillary funds

426‑105 Private ancillary funds
426‑110 Private ancillary fund guidelines
426‑115 Australian Business Register must show private ancillary fund status

Administrative penalties

426‑120 Administrative penalties for trustees of private ancillary funds

Suspension and removal of trustees

426‑125 Suspension or removal of trustees
426‑130 Commissioner to appoint acting trustee in cases of suspension or removal
426‑135 Terms and conditions of appointment of acting trustee
426‑140 Termination of appointment of acting trustee
426‑145 Resignation of acting trustee
426‑150 Property vesting orders
426‑155 Powers of acting trustee
426‑160 Commissioner may give directions to acting trustee
426‑165 Property vested in acting trustee—former trustees' obligations relating to books, identification of property and transfer of property

Private ancillary funds

426‑105  Private ancillary funds

 (1) A trust is a private ancillary fund if:
 (a) each trustee of the trust is a *constitutional corporation; and
 (b) each trustee has agreed, in the *approved form given to the Commissioner, to comply with the rules in the *private ancillary fund guidelines, as in force from time to time; and
 (c) none of the trustees has revoked that agreement in accordance with subsection (2).

 (2) A trustee may revoke an agreement mentioned in paragraph (1)(b) only by giving the revocation to the Commissioner in the *approved form.

426‑110  Private ancillary fund guidelines

  The Minister must, by legislative instrument, formulate guidelines (the private ancillary fund guidelines) setting out:
 (a) rules that *private ancillary funds and their trustees must comply with if the funds are to be, or are to remain, endorsed as *deductible gift recipients; and
 (b) the amount of the administrative penalty, or how to work out the amount of the administrative penalty, under subsection 426‑120(1).

426‑115  Australian Business Register must show private ancillary fund status

 (1) If a *private ancillary fund has an *ABN, the *Australian Business Registrar may enter in the *Australian Business Register in relation to the fund a statement that it is a private ancillary fund.

Note 1: An entry (or lack of entry) of a statement required by this section does not