Description

Current tax concessions and proposed changes

This webinar considers the application of the tax concessions that currently apply to charities and other not-for-profit bodies, and tax incentives available to persons who make donations to charities and other donee organisations.

Tax issues to be addressed include the application of the current income tax and FBT exemptions to charities and not-for-profit bodies, the application of the so-called mutuality principle to not-for-profit bodies, the tax treatment of reimbursement payments and honorarium payments made to volunteers, and the special GST rules that apply to not-for-profit organisations.

This webinar will also consider the reforms proposed in the recently-released issues paper “Taxation and the not-for-profit sector”, including the proposals to tax business income unrelated to charitable purposes, and to impose restrictions on investments and a minimum distribution rule for donor-controlled charities.

LEARNING OUTCOMES

• Understand when and how the income tax exemptions (including the business income exemption) apply to registered charities, and proposed changes to these rules.
• Learn about the income tax consequences of a charity being de-registered, including recent changes to the deregistration rules.
• Understand how not-for-profit organisations are taxed, including Inland Revenue’s current view on the application of the so-called mutuality principle.
• Learn how the FBT exemptions and special GST rules apply to charitable organisations and not-for-profit bodies, and proposed changes to the FBT exemption.
• Know how to treat reimbursements and honorarium payments made to volunteers correctly, and proposed changes to these rules.
• Learn when donors are entitled to a tax deduction or a tax credit for donations made to charitable organisations, proposed changes to these rules, and when Inland Revenue may investigate tax credit claims.

SUITED TO

Accountants of all levels, in-house accountants, and lawyers who advise charities and other not-for-profit bodies.

PRESENTER

Stephen Tomlinson, Principal, Tomlinson Law

Stephen has lectured in taxation, finance and business law at the University of Canterbury and is a well-known presenter of taxation and trust seminars and webinars. Stephen advises accounting firms and law firms on a wide range of tax issues relating to charities and other not-for-profit organisations. He is a member of the NZLS taxation committee and The Law Association of New Zealand trust law committee.