TAX CHANGES MAKE IT EASIER TO GIVE TO CHARITY

From April 2008, the cap on tax breaks for charitable donations has been removed. Previously, no matter how much an individual donated, refunds were limited to $630. Now you can claim a tax rebate of one-third of every dollar you donate, up to the amount of your annual income.
For an example, an individual who gives $10,000 in any one year can now claim back $3,333 as a tax rebate. If your donation is $1,000 your rebate will be $333.

Significantly, businesses can also claim these tax deductions. Companies can get a deduction for total charitable donations made, limited only by the amount of the company’s net annual income.

For example, a company could donate $30,000 in the financial year and, provided the net income (calculated before taking into account the donation) is above that, the company could get a full deduction of $30,000.

Date Added: Thursday, 16th April 2009