Gifts and Donations
With all the crisis that has happened and is happening around the globe most
people who aren't affected want to help by donating to charities that are close to
Aside from your personal intentions in donating, these donations can also be claimable as tax deductions on your next tax return. We have created a checklist for you to verify if the donation you made or will be making is tax-deductible.
1. The donation should be made to an organization listed as DGR Status and no benefit or advantage can be received in doing so. If you don’t know DGR
it stands for Deductible Gift Recipient. DGR is an organization that qualifies to receive income tax-deductible donations.
To check if your chosen charity is a DGR you can visit ACNC Charity Registry
The registry contains details about registered charities and their purposes.
Remember that if you receive something because of your donation, it cannot be claimed as a tax deduction.
2. Your donation should be more than $2. Various charities have limitations on the donations that you can claim. Make sure to get in touch with your chosen charity to know how much you can claim as a tax-deductible donation.
3. Like all deductibles, if you want to claim a deduction for a donation made. You must keep a record or proof of that donation. Either in the form of a receipt or bank statement.
4. Money and Property are the only things that can be donated — time and services are not qualified.
There are also different rules in donating property, goods or shares. Please
contact us to make sure you know how to claim these items.
The amount you can claim still depends on what kind of donation or gift you made. It’s best to speak with a registered accountant like The Tax Accountant to help you determine what can be deductible.