3 Steps to Make the Most of your Charitable Giving
Supporting a charity can be done in several ways, through providing your time, skills, goods or donating money. If you show your support through charitable donations, here are some ways to make the most of your giving.
1) Claim your tax back
If you’ve made a donation to a charity with Deductible Gift Recipient (DGR) status over the last financial year, you may be eligible to claim it on this year’s tax return. Visit the ATO website or speak to your tax advisor for more information on tax deductible gifts and contributions.
By claiming your tax deductible donation, your donation is recorded as part of the ATO statistics which is the primary source for giving statistics. The recent release of the 2011-12 ATO statistics show that for the first time ever, Sydney harbour-side suburbs were replaced by Cottesloe and Peppermint Grove as the most generous suburbs.
2) Keep your receipts
If you tend to make small donations on a regular basis, make sure to hold on to your receipts to keep track of your giving. It will save time when making claims on your tax return, and will also provide you with information on the organisations you’ve supported. By reviewing your past giving, and knowing the organisations you are supporting at the moment, this will help you to plan your giving for the future.
These are the sort of questions you may want to ask yourself:
How much did I give in the last year, and to whom?
What impact did that have?
Am I giving one-off donations? Could I set up regular contributions?
3) Set a strategy
Setting up regular donations, on a monthly basis for example, will not only provide some financial stability for the charity you support, but it will also make it easier for you to track your giving at tax time. If you are looking for a cause to support, visit the www.givenow.com.au which provides the option to set up regular donations.
The GiveNow is a fee-free online donations portal for Not-for-Profit or community organisations.
While you’re there, create a free My Giving account which:
Records all your regular and one-off donations
Allows you to set-up /change regular donations
Provides donation summaries and receipts for your annual tax return
Some more ideas to get the most out of your giving: