Re: $100k on last 380

"Doug Jewell" <ask@[EMAIL PROTECTED]
> wrote in message 
news:4810f607$0$1630$5a62ac22@[EMAIL PROTECTED]
> Kwyjibo wrote:
>> "Daryl Walford" <dwalford@[EMAIL PROTECTED]
> wrote in message 
>> news:avidnVy6ssVvF43VnZ2dnUVZ_uWdnZ2d@[EMAIL PROTECTED]
>>> Its obvious to anyone (even the dumb ****s who work for the Tax
Office) 
>>> thats its a donation to a charity so it should still be deductible 
>>> provided the transaction was setup correctly.
>>
>> And if you had the slightest clue you would know that in this case it
is 
>> clearly not deductable, as the vehicles list value is both greater than

>> $150 and greater than 20% of what he paid for it. That rules it out as
a 
>> deductable item.
>> Try reading the ATO rulings on 'deductable gift recipients' then get
back 
>> to me.
> You are right that getting something in return for a donation stops it 
> being tax deductible. But it can be worked around as below.
>>
>>>>> The item he bid on is irrelevant.
>>>> But stupid, none the less.
>>>>
>>> That would depend on how the transaction was arranged.
>>
>> How the transaction was arranged is irrelevant.
>>
> Not really - if he is invoiced by MMAL at normal price for the car, and 
> then given a receipt from a charity for the remainder, then it will be 
> perfectly legitimate as a charitable donation. MMAL could then donate
the 
> amount they receive to charity, and claim that amount as a tax deduction

> also.

And given the fact that this auction is now public knowledge, if the
dealer 
tried that they would more then likely be fined for providing misleading 
information to the ATO.

-- 
Kwyj.