Australian agricultural associations that rake in millions should have charitable status revoked, tax expert says

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Australian agricultural associations that rake in millions should have charitable status revoked, tax expert says

Written by Margaret Simons

Status of Co-operative Bulk Handling and Queensland Sugar, which earn money through businesses run to benefit their members, ‘stretches the notion of charity’

Australian agricultural associations, including two that earn hundreds of millions of dollars through businesses run to benefit their members, should no longer be recognised as charities, a tax expert has said.

Prof Ann O’Connell of Melbourne University law school said Co-operative Bulk Handling Ltd (CBH) and Queensland Sugar Ltd were receiving an effective subsidy at taxpayer expense, and their status “stretches the notion of charity”.

Related: Australian government crackdown on charities will stifle political advocacy, experts say

Related: Charities slam government plan to deregister organisations that may commit crimes

Labelling these significant business enterprises as charities blurs the line between the charitable and the for-profit sector

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