Earn
Can I claim my loose change charitable donation?
There’s no doubt it’s been a tough 12 months for many Australians – and chances are you’ve dropped some loose change into a bucket to support one charity or another – but without any form of receipt, are these types of donations tax deductible?
Can I claim my loose change charitable donation?
There’s no doubt it’s been a tough 12 months for many Australians – and chances are you’ve dropped some loose change into a bucket to support one charity or another – but without any form of receipt, are these types of donations tax deductible?
According to the Australian Taxation Office, for a gift or donation to be deductible, it must be given to an organisation endorsed as a deductible gift recipient (DGR).
“If you made one or more donations of $2 or more to bucket collections conducted by a DGR, you can claim a tax deduction of up to $10 for the total of those contributions for the year without a receipt,” the ATO’s assistant commissioner, Karen Foat, said.
A DGR is a not-for-profit organisation – and includes some charities – that is entitled to receive gifts that are tax deductible.
Notable examples of DGRs that you may have donated to over the past year include: NSW Rural Fire Service, The Trustee for Queensland Volunteer Rural Fire Brigades Donation Fund, Queensland State Emergency Service, Australian Red Cross Society, the Trustee for the Salvation Army, and Cancer Council Victoria.
A comprehensive list of DGRs can be found here.
It’s worth noting that not all charities or crowdfunding campaigns are endorsed DGRs. This means Australians should confirm the DGR status of an organisation they have donated to by checking on the organisation’s ABN before claiming a deduction.
But for larger donations, Ms Foat has instructed that “it is important to keep receipts to support your claim for all other donations beyond this $10 annual limit”.
“Over half of the claims we disallow is because taxpayers haven’t kept a record to support their claim,” the assistant commissioner revealed.
“Charities do good work all over Australia, so we want to make supporting the charity of your choice simple,” she added.
“But remember, you can’t claim a deduction for purchasing tickets in a charity raffle or where you receive any goods or services in return for your donation.”
Did you enjoy this article? You might also be interested in:
About the author
About the author
Tax refund
Late lodgers face fines but aren’t completely out of luck
It usually pays to lodge your taxes on time, but you have a few options if you miss the deadline. ...Read more
Tax refund
Side hustlers should take care when it comes to tax
Both side hustlers and more traditional SMBs need to think ahead when it comes to staying on top of their tax obligations. ...Read more
Tax refund
The ATO is targeting side hustlers: Here’s what you need to know
If you don’t keep on top of what your side hustle means for your tax obligations, you’re asking for trouble. ...Read more
Tax refund
Why your tax return could be better than usual this year
If there was ever a year when it was worth doing your taxes on time, it’s this one. ...Read more
Tax refund
ATO issues tax tips for first-time share and ETF investors
The ATO has offered a helping hand to first-time ETF investors facing the burden of lodging their tax returns. ...Read more
Tax refund
The tax trick that property investors need to get their renovation deductions in order
Knowing the difference between renovations and repairs can mean the difference between a timely tax return and an audit by the ATO. ...Read more
Tax refund
What makes a good tax?
With the economy going through an uneven recovery, an industry expert has highlighted the current failures of the tax system and what makes a good tax. ...Read more
Tax refund
Aussies more conservative with tax returns amid COVID pandemic
Over a quarter of Australians are looking to pay off outstanding bills with their tax returns, according to new research. ...Read more
APRA’s mortgage crackdown, the power of DeFi and last-minute tax tips
Listen now
What to expect as the end of lockdown looms? Will the Stage 2 tax cuts boost your tax return? Where should investors be looking as the economy reopens?
Listen now
Could property prices inflate by another 20%? What’s happening in recent dividend announcements? Did your fund fail the YFYS test?
Listen now
What does the NSW regional permit mean for property investors? Who really wins from the BHP-Woodside merger?
Listen now
Tax refund
Late lodgers face fines but aren’t completely out of luck
It usually pays to lodge your taxes on time, but you have a few options if you miss the deadline. ...Read more
Tax refund
Side hustlers should take care when it comes to tax
Both side hustlers and more traditional SMBs need to think ahead when it comes to staying on top of their tax obligations. ...Read more
Tax refund
The ATO is targeting side hustlers: Here’s what you need to know
If you don’t keep on top of what your side hustle means for your tax obligations, you’re asking for trouble. ...Read more
Tax refund
Why your tax return could be better than usual this year
If there was ever a year when it was worth doing your taxes on time, it’s this one. ...Read more
Tax refund
ATO issues tax tips for first-time share and ETF investors
The ATO has offered a helping hand to first-time ETF investors facing the burden of lodging their tax returns. ...Read more
Tax refund
The tax trick that property investors need to get their renovation deductions in order
Knowing the difference between renovations and repairs can mean the difference between a timely tax return and an audit by the ATO. ...Read more
Tax refund
What makes a good tax?
With the economy going through an uneven recovery, an industry expert has highlighted the current failures of the tax system and what makes a good tax. ...Read more
Tax refund
Aussies more conservative with tax returns amid COVID pandemic
Over a quarter of Australians are looking to pay off outstanding bills with their tax returns, according to new research. ...Read more
More articles
Website Notifications
Get notifications in real-time for staying up to date with content that matters to you.
