Is my donation to a non-profit organization tax deductible?
February 9, 2022 | 40,00 EUR | answered by Christine Witzelmann
Dear tax advisor,
My name is Ulrike Karpinski and I have a question regarding my donation to a non-profit organization. I recently donated 500 euros to an organization that advocates for environmental protection. Now I am wondering if this donation is tax deductible.
My background is as follows: I regularly donate to various organizations and would like to know if I can claim these donations on my taxes. However, I have never deducted donations from my taxes before and therefore I am unsure if I can do so in my case.
My concern is that I may be missing out on an opportunity to save on taxes if I do not deduct the donation. I want to make sure that I take advantage of all opportunities to reduce my tax burden.
Therefore, my question to you is: Is my donation to the non-profit organization tax deductible, and if so, what steps do I need to take to claim it on my tax return? Are there specific requirements that I need to meet for the donation to be deductible?
I would be very grateful if you could help me with this and provide possible solutions.
Thank you in advance.
Sincerely,
Ulrike Karpinski
Dear Mrs. Karpinski,
Thank you for your inquiry regarding the tax deductibility of your donation to a charitable organization. It is commendable that you are involved in environmental protection and make donations to relevant organizations. I am happy to explain to you how you can claim your donation for tax purposes.
In general, donations to charitable organizations in Germany are tax deductible. The organization must be recognized as charitable and able to issue donation receipts. In your case, if the organization is dedicated to environmental protection, it is very likely that it is recognized as charitable.
To claim your donation for tax purposes, you will need a donation receipt from the organization. This receipt must include certain information, such as the name and address of the organization, the amount and date of the donation, and a note indicating that it is a donation. You will then include this receipt with your tax return.
In your tax return, you can list the donation as a special expense. You can deduct up to 20% of your total income as donations. If the amount of your donation exceeds the maximum limit, the excess amount can be carried over to the following year.
However, there are certain requirements that must be met for the donation to be tax deductible. The organization must be recognized as charitable, you must be able to present a donation receipt, and you must have sufficient income for the donation to be tax effective.
I recommend that you contact your local tax authority or a trusted tax advisor to ensure that you meet all the requirements and correctly report your donation in your tax return. This way, you can ensure that you are taking advantage of all opportunities to reduce your tax burden.
I hope this information is helpful to you and I am available to answer any further questions you may have.
Sincerely,
Christine Witzelmann
