Generally Churches, and other charities get their operating income from donations. Donations that come from people who have already paid Income tax on their personal earnings. Do you feel it's right that the government gets to have a double take on charitable givings?
The govt doesn't think so, and thats why 33.33% of donations can be claimed back.
1) You don't pay tax on the $ you pay to a religion (assuming you get a receipt), because those donations are deductible.
2) When I spend any money it's post PAYE/RWT/PIR. With the various taxes and levies govt takes from citizens' post tax income, it's beak is wetter than a squid's.
There does not need to be any nz presence. Why you talking about warehousing etc? They can just ship their marmite or wheetbix directly to your door from overseas.
The links you supply above are not accurate either for a non profit organisation.
You have missed the point totally.
Sanitarium are a B2B company selling FMCG. Their entire business model is B2B. They aren’t going to invest tens of millions of dollars setting up an international B2C business.
The links I supplied are applicable for a business. This entire nonsense scenario you created was around their New Zealand business being taxable. Their tax status is Australia would be irrelevant within the DTA provisions. If you have some evidence they are not please share it.
"" This for example allowed Word’s funeral business which existed to fund the charitable activities of another organization to be considered charitable. Sanitarium is another high profile example. ""
So the Commercial Business will pay tax on profits except that which is paid to the charity as franked dividends. At least any money that stays in the business, to expand the business etc gets taxed as normal.
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