gzt:Current wording of the act: "Meaning of charitable purpose and effect of ancillary non-charitable purpose" : "(1) In this Act, unless the context otherwise requires, charitable purpose includes every charitable purpose, whether it relates to the relief of poverty, the advancement of education or religion, or any other matter beneficial to the community".
I do not see any need for tax exemption for any of that.
What is the argument in favor of tax exemption?
Relief of poverty. Ie, donations to such a charity should be exempt from Tax. If I am donaiting to a Church, or some other service which directly helps the community or the poor (Wellington free ambulance for example), its good to be able to get the GST back on my contributions.
The current wording of the act is the real problem here. Thanks for sharing that.
The problem with these fluoride nutters is that everything they buy here in NZ, all services they use etc, they can claim the GST back at the end of the financial year.
Anybody that donates to these nutters gets their GST back too.
So effectively its cheap to start up a charity for whatever cause I want. Somebody mentioned invisible Pink Unicorns!

