What is a gift fund?
A gift fund has these characteristics: • it is a fund • it is maintained for the principal purpose of the fund, authority or institution • all gifts, and deductible contributions, of money or property for that purpose are made to it • any money received by the organisation, because of such gifts, or deductible contributions, is credited to it • it does not receive any other money or property • the fund is used only for the principal purpose of the fund, authority or institution, and • the organisation is required – by a law, its constituent documents or governing rules – to transfer any surplus assets of the gift fund to another gift deductible fund, authority or institution when the fund, authority or institution is wound up or the deductible gift recipient (DGR) endorsement is revoked, whichever occurs first (see note below).
