In a lengthy case, the AAT has affirmed the Commissioner’s decision to revoke registration of a charity in relation to subtypes 7 (protecting human rights) and subtype 13 (health promotion charity).
Under the ACNC Act and Charities Act, the taxpayer was registered as an entity for advancing health (Item 1), entity for promoting or protecting human rights (Item 7), entity for advancing public debate (Item 12) and an institution whose principal activity is to promote the prevention or control of diseases in human beings (Item 13 – health promotion charity).
In December 2011, the Commissioner determined that the taxpayer had not met the eligibility requirements for registration of a charity of protecting human rights and revoked registration with effect from 1 January 2014. It further determined the taxpayer’s principal activity was not the promotion or prevention of control of diseases in human beings and revoked the taxpayer’s registration as a health promotion charity from 11 December 2014. The taxpayer’s objections to revocation of registrations were rejected by the Commissioner and it appealed to the Tribunal for a review.
After considering very detailed evidence presented by the taxpayer, the AAT concluded that the taxpayer’s principal activity was that of responding to requests for assistance in relation to individuals who believe they have been affected by low frequency noise such as those from wind turbines. As such, it cannot be regarded as the promotion of the prevention or control as diseases, since alleviating suffering of sick and diseased did not constitute promotion of the relevant kind.
In relation to the taxpayer’s objections to the revocation of Item 7 (protecting human rights), the Tribunal could not find that the taxpayer had a purpose of promoting or protecting humans rights and upheld the Commissioner’s decision
(Waubra Foundation and Commissioner of Australian Charities and Not-for-profits Commission [2017] AATA 2424, AAT, White DP, Bean DP, 4 December 2017.)
[LTN 234, 6/12/17; Tax Month Dec 2017]