Ancillary Fund
From PhilanthropyWiki
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Ancillary Fund Definition
An ancillary fund is a legal structure which can be utilised to establish foundations. It is a common structure for community foundations in Australia and also for fundraising foundations, but can also be used to establish other types of foundation.
An ancillary fund has the following characteristics:
- it is a Public Fund
- it is established and maintained under a will or instrument of trust
- it is allowed, by the terms of the will or instrument of trust, to invest gift money only in ways that Australian law allows trustees to invest money
- it is established and maintained solely for
- the purpose of providing money, property or benefits to DGRS, or
- the establishment of DGRs
An ancillary fund must be exclusively for these purposes. It must not carry on any other activities. It is like a conduit or temporary repository for channelling gifts to other DGRs. An ancillary fund must not provide for, or establish, another ancillary fund or a PPF.
ATO definition of Ancillary Funds
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