Tax Breaks for Giving Back in Singapore

Get a hefty tax break when donating to Singapore charities

Did you know that if you have made a cash donation to a charitable organisation, you may be eligible for a significant tax deduction?

Since 2016, in an effort to encourage Singaporean tax residents (that includes expats holding EP’s, LOC and S Passes) to give back to the community and support the charitable sector, a whopping 250% tax deduction for qualifying donations has been put in place. Recently the Minister of Finance announced that as part of the 2021 Budget, this 250% tax deduction will be extended to the end of 2023.

ANZA Action supports a range of charitable organisations through our volunteer work and also through donations from generous members and ANZA initiatives. This year, we got creative with a range of small events, tours and craft items and raised over $12,000 for Kodie, our sponsored therapy pony at Riding for the Disabled Singapore

How does it work? 

To claim a tax deduction on your charitable donations, the organisation must be an approved Institution of a Public Character (IPC). Not all registered charities are approved IPCs and donations made to a charity without approved IPC status are not tax-deductible. You can search if an organisation is an approved IPC at the Charity Portal through the IRAS website. Note: Your donation must have been made within the financial year, in cash and a receipt must be issued, in order for the donation to be counted that specific financial year.

When making a donation, it is also imperative that you provide the IPC charity with your NRIC, this way, when doing your tax return electronically, your deduction should already be included. The approved IPC charity is responsible for sending all donations they receive to the IRAS every year.

Who to donate to? 

ANZA Action supports a number of fantastic Singapore charities – from children’s homes to support for young mums, meals on wheels, and more. You can find out more about the organisations that ANZA Action supports (and ways that you can become a volunteer) here