ANBI

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An ANBI is a legal entity whose activities and assets serve the public interest for at least 90%. This can include the promotion of culture, protection of nature and the environment, animal welfare and science and research. To qualify as an ANBI, the institution in question must meet a number of conditions.

Benefits of an ANBI

An ANBI has several tax advantages:

the ANBI does not pay gift tax or inheritance tax on donations or acquisitions made to it;
the recipient does not have to pay gift tax on donations made by an ANBI in the public interest;
under certain conditions, donations to an ANBI are deductible from income tax or corporation tax.

Conditions

To qualify as an ANBI, the institution in question must meet a number of conditions. These are more:

the ANBI may not have a profit motive; however, it may engage in commercial activities under certain conditions;
the ANBI and the persons involved in the ANBI must meet certain integrity requirements. For example, the institution and the people involved in it must not incite hatred or the use of violence;
there must be separate assets. This means that a director or policymaker may not dispose of the ANBI's assets as if they were his/her own;
an ANBI may not hold more assets than are reasonably necessary for the realisation of its objective;
the ANBI's policymakers may only receive an expense allowance for expenses incurred and/or a non-excessive attendance fee;
the ANBI must have a current policy plan. This plan should provide insight into the activities carried out by the ANBI with a view to achieving its objective, the method of acquiring income, the management of the ANBI's assets and the spending of these assets;
the balance remaining after the dissolution of the ANBI should benefit an ANBI with a similar purpose as the dissolved ANBI;
the costs incurred by the ANBI must be in reasonable proportion to the expenditure used to realise the objective of the ANBI;
the administration of the ANBI must meet certain conditions;
the ANBI is obliged to publish a number of legally prescribed details on an internet site.