EOFY: Donating to charity? Your guide to understanding tax deductible donations

End of Financial Year (EOFY) is fast approaching: you’ll soon be able to lodge your tax return (hoping for a good kickback), and you may be seeing charitable appeals pop up around the community as the winter chill descends. But wait –  there’s an extra win-win here.

Donating to a charity before June 30 means you get to support a cause you’re passionate about, and you get to claim it on tax!

How do tax deductible donations work?

All donations over $2 made to a charity registered as a “deductible gift recipient” can be claimed on your tax return. Don’t forget to keep all of your donation receipts!

The donation must be a true gift, where there is no material or benefit you receive in return – for example, giving $2 to a charity for their charity chocolate is not a deductible gift because you received something in return.

How much of my donation do I really get back?

This depends on your income. You will receive the income tax rate portion of your donation as a tax deduction. All you need to do is list the entire donation in section D9 of your tax return and the ATO will work the rest out for you.

The Australian Taxation Office has more information on tax deductible gifts and donations.

Your charitable support means the world to organisations that rely on the generosity of donors to keep important programs running.

If you’d like to share your generosity with Samaritans, we’ve just launched our annual Winter Appeal.