Income Tax Act 2007 section 257MQA

Excluded activities: nursing homes and residential care homes

Section 257MQA defines "nursing home" and "residential care home" for the purposes of the social investment tax relief excluded activities rules, and sets out when running such a home counts as an excluded activity.

• A nursing home is an establishment that exists wholly or mainly to provide nursing care for people who are sick, injured, infirm, pregnant or who have recently given birth.
• A residential care home is an establishment that exists wholly or mainly to provide residential accommodation with board and personal care for people needing such care because of old age, disability, substance dependence, past illness or mental disorder.
• Operating a nursing home or residential care home is treated as an excluded activity only if the person carrying on the activity owns, has an interest in, or occupies the home in question.
• Where a social enterprise merely provides services to a home it does not own or occupy, the activity is not automatically treated as excluded under these rules.