The Wire

Churches and Charities could lose billions of dollars’ worth of tax exemptions as a result of a new government inquiry. As part of the Henry review, the huge non-government sector is under scrutiny with some suggesting it should be forced to pay more tax. Many church groups run profitable businesses as fundraising ventures, but don’t pay tax. One example is Sanitarium, the breakfast cereal company, which is owned by the Seventh Day Adventist church. But with all profits going back into church work and not used for private gain, many say the tax exemption is justified.