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ARTICLE · 21 MARCH 2026

When does an ancillary fund ‘provide' a ‘benefit'?

Cooper Grace Ward
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This draft determination provides clarity on when funds will be considered as having provided a benefit under the Guidelines.

AustraliaTax
Carly Ashwood
Carly Ashwood
Francesca Jones
Francesca Jones
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The ATO has released a draft tax determination - TD 2025/D3. This determination clarifies the ATO's views of the meaning of 'provision of benefits' and to 'provide any benefit, directly or indirectly' for ancillary funds.

Introduction

The ATO's release of tax determination TD 2025/D3, has clarified how both public and private ancillary funds 'provide benefits' under the Taxation Administration (Private Ancillary Fund) Guidelines 2019 (Cth) and the Taxation Administration (Public Ancillary Fund Guidelines) 2022 (Cth) (Guidelines) to eligible deductible gift recipients (DGR) and related entities.

Specifically, the ATO has considered the meanings of:

  • the 'provision of ... benefits' under subsection 15(4) of the Guidelines

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