New South Wales Consolidated Acts

CHARITABLE TRUSTS ACT 1993 - SECT 22C

22C Prescribed trust-trust instrument not containing express power to give to eligible recipients

(1) The powers of the trustees of a prescribed trust, whose trust instrument does not contain an express power to do so, include a power to provide money, property or benefits to or for an eligible recipient or for the establishment of an eligible recipient.

(2) Subsection (1):

(a) applies despite any provision to the contrary in the trust instrument, but

(b) does not apply in relation to a particular eligible recipient or a particular class of eligible recipients to the extent that there is an express prohibition in the trust instrument against the provision by the trustees of money, property or benefits:

(i) to or for that eligible recipient or class of eligible recipients, or

(ii) for the establishment of that eligible recipient or class of eligible recipients.

(3) Subsection (1) does not apply to the trustees of a prescribed trust unless there is in force a declaration substantially to the effect of the form in Schedule 1 in respect of the prescribed trust.

(4) For the purpose of making a declaration under this section, the form in Schedule 1 may be modified so as to limit the application of the declaration to a specified eligible recipient or specified class of eligible recipients. If the declaration made in respect of a prescribed trust is so limited, subsection (1) in its application to the prescribed trust has effect only in relation to the specified eligible recipient or specified class of eligible recipients.

(5) The trustees must ensure that the declaration, or a certified copy of it, is retained with the records of the prescribed trust.

(6) The trustees are not under a duty to make a declaration under this section, nor are the trustees in breach of a duty in making a declaration under this section.