tax facts

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Donations

 

Companies

Companies are entitled to a deduction for donations made in an income year up to 5% of the company's net income.

There are maximum limits available, please contact us for more information.

Individuals

Individuals can make a claim for rebates on an IR 526 form for donations of $5 or more to an approved donee organisation.

Rebates can be claimed by individuals (not companies, trusts or partnerships) who:

  • earned taxable income during the period being claimed for, and
  • were resident in New Zealand at any time during the tax year.

Effective from 1 April 2012, tax credits can no longer be claimed on childcare or housekeeper payments.

From 1 April 2014, donation tax credits can only be claimed within a period of 4 years following the year in which the donations were made.

The maximum amount you can claim for donation rebates cannot exceed your taxable income for the year. If the total donations do exceed your taxable income for the year, you can only claim donations up to the amount of your taxable income.

If you claimed a rebate last year, the IRD will automatically send you a rebate claim form in April. Otherwise, you can complete the IR526 form available on the IRD website, print and sign it, attach your receipts and post it to the IRD.