A charity operated a commercial funeral business for several years in order to fund part of its fund raising. The court found that the commercial activities were incidental to its evangelical objects, which meant that it retained exemption to all income under Division 50. It was the motivation of the fund raising to satisfy a charitable object that was significant. It was not important whether the fund raising was active (funeral business) or passive (investment returns and donations), because the purpose for raising the funds was the same.
25th-June-2008 | 