The Commissioner has lodged a notice of appeal to the Full Federal Court against the decision in The Hunger Project Australia v FCT [2013] FCA 693. In that case, the Federal Court held that the Australian arm of a world-wide organisation operating out of the United States that was aimed at ending world hunger was a “public benevolent institution” (PBI) under s 57A(1) of the FBTAA – with the result, that the provision of benefits to one of its employees was exempt benefits for FBT purposes. This was the case, notwithstanding that the Australian arm of the organisation was only mainly involved in fund raising activities and not in providing aid directly to those in need.
[LTN 154, 12/8/13]