There has been a change to the Category 2 funding category, please see
below).
There are two classes of expenditure under the CDSE scheme:
- Category 1 – expenditure on specific community welfare and social
services, community development, community health services and
employment assistance activities; and
- Category 2 – expenditure on other community development and support
services.
- traditional areas of club expenditure, such as support for sport and
recreation groups
- non-profit cultural activities or non-profit visual and performing art
activities and programs (Guideline reference 2.2.5)
To qualify for the maximum tax deduction of 1.5% of gaming machine
profits over $1 million, clubs must contribute at least 0.75% to Category 1
purposes, with the remainder allocated to Category 2 purposes. Category 1
expenditure in excess of 0.75% may be used to cover shortfalls in Category
2, but the reverse does not apply.
Full details on the criteria for Categories 1 & 2 are contained in the
CDSE Guidelines.
