»Ê¹ÚÌåÓýapp

»Ê¹ÚÌåÓýapp method based on time could be applied to the entire building without permission from us.

Step 1

Select a representative period.

Note: »Ê¹ÚÌåÓýapp representative period over which the use is measured isn’t prescribed and any reasonable representative period may be used.

Step 2

Determine the amount of time that the building is intended to be used solely for a relevant charitable purpose during that representative period.

Step 3

Determine the total amount of time that the building is available for use during that representative period.

Note: »Ê¹ÚÌåÓýapp ‘total time the building is available for useâ€� is the total opening hours of the building during the representative period.

Step 4

Divide the amount of time determined at Step 2 by the amount of time determined at Step 3 and multiply by 100.

Step 5

If percentage calculated at Step 4 is greater than 90 per cent, any non-qualifying use can be ignored.

Note: Where the building was used for both qualifying and non-qualifying activities at the same time then that period of time couldn’t be regarded as qualifying use (VCONST19500).

When applying the time-based method to an entire building, it wasn’t acceptable to consider the use of the building by reference to the total staff hours spent on qualifying and non-qualifying activity within the building. This was because the method only considered the time a building was used solely for a qualifying purpose.

Example

A charity is constructing a hall. Every Friday evening, the hall will be let to another organisation for two hours. »Ê¹ÚÌåÓýapp rest of the time the hall is available for use (36 hours) it will be used by the charity for a relevant charitable purpose.

»Ê¹ÚÌåÓýapp percentage qualifying use is 36 divided by 38 - that is, 94.7 per cent. »Ê¹ÚÌåÓýapp building will qualify under the concession using this method and a certificate can be issued.