The ATO has issued a Decision Impact Statement in relation to the Full Federal Court decision in Wentworth District Capital Ltd v FCT  FCAFC 42; 2011 ATC 20-253; 191 FCR 151. The case considered whether a franchise of Bendigo Bank was an association established for community service purposes for the purposes of item 2.1 of s 50-10 of ITAA 1997. The Full Federal Court held that it was.
The Decision Impact Statement states:
"The court did not go so far as to hold that every community bank will qualify as providing a community service within Item 2.1 of section 50-10 of ITAA 1997. It will be necessary to examine the purpose for which the relevant entity is established and a consideration of the circumstances of the relevant community to determine if the facilitation of the provision of face to face banking activities provides sufficient real and tangible benefit to the community to qualify as a community service. This is to be determined in a year to year basis and will turn on the facts of each case."
The Commissioner will withdraw ATO ID 2002/931.