Boost Your Tax Refund by Donating to Charity
What You Need to Know?
Giving back to your community not only feels good but can also reduce your tax bill. Donations to registered charities in Australia are tax-deductible, which means you can claim them on your tax return and potentially increase your refund. Here’s how to maximise your donations and ensure they count:
Key Points
- Track Every Donation: Keep receipts for donations over $2 made to ATO-approved Deductible Gift Recipients (DGRs).
- Non-Cash Donations Count: Donating items is also deductible, provided you determine the market value of the goods given to a DGR.
- No Personal Benefit: Only donations with no personal gain are deductible (e.g., donations that aren’t linked to raffles or events).
- Verify Charity Status: Check that your chosen charity is a registered DGR. You can do this through the ATO’s website.
- Claim in the Same Year: Ensure the donation is claimed in the tax year it was made.
Top Donation Organisations in South Australia:
- Foodbank SA: Providing food relief to South Australians in need.
- The Hutt Street Centre: Helping the homeless rebuild their lives.
- Catherine House: Supporting women experiencing homelessness.
- Backpacks 4 SA Kids: Supporting displaced children with essential items.
Don’t wait until tax season to track your donations. Set up a system to log all charitable contributions throughout the year, ensuring you claim every eligible dollar.
Want to make sure you’re claiming all your donations correctly? Contact Tax Accounting Adelaide for expert advice on maximising your deductions and boosting your refund. Book a consultation today!
