Donations to Voluntary Organisations Rules, 2024

L.N. 86 of 2024

INCOME TAX ACT

(CAP. 123)

Donations to Voluntary Organisations Rules, 2024

IN EXERCISE of the powers conferred by article 14(2) and

96(3) of the Income Tax Act, the Minister responsible for finance has

made the following rules:-

The title of these rules is the Donations to Voluntary Citation.

Organisations Rules, 2024.

In these rules, unless the context otherwise requires

Interpretation.

"Act" means the Income Tax Act;

"Commissioner" shall have the same meaning as assigned

to in the Act;

"company" shall have the same meaning as assigned to it in

the Act;

"competent authority" means the Commissioner for

Voluntary Organisations appointed in accordance with article 5

of the Voluntary Organisations Act.

These rules shall apply to cash donations made by Applicability.

companies on or after 1st January 2024 to voluntary organisations that

are enrolled with the competent authority in accordance with the Cap. 492.

Voluntary Organisations Act and operating directly in the field of

social, environmental or animal welfare.

A company that intends to claim a tax credit as provided in Information

these rules shall furnish to the competent authority such information which

furnished to the

and documents as the competent authority may deem necessary in competent

authority.

order to be satisfied that the said company has made a donation to

which these rules apply, which information and documents shall be

furnished in such manner and within such time as the competent

authority may determine.

(1) The competent authority shall send to the List of

Commissioner by not later than the end of January of each year, or donations.

such later date as may be agreed between the competent authority and

the Commissioner, a list of companies which would have proven to its

satisfaction that in the year immediately preceding the year of

assessment commencing on 1st January of that year, they made

donations to which these rules apply.

(2)

The list shall indicate, in respect of each donation

(a) the name of the company that has made the donation

and its income tax registration number;

(b)

the amount and the date of the donation; and

(c) the name of the organisation to whom the donation

was made.

(3) Together with the said list, the competent authority shall

send to the Commissioner a confirmation in writing that it is satisfied

that the donations listed therein have been made and that those

donations are donations to which these rules apply.

(1) When a company makes a donation to which these

rules apply, and when that donation has been listed and confirmed as

provided in rule 5, that company shall have the right to a tax credit for

the year of assessment in question in respect of that donation.

(2) The tax credit which may be given to a company for any

year of assessment in accordance with these rules shall be the lesser of

the following two (2) amounts

(a) thirty five percent (35%) of the total of the donations

made by it in the year immediately preceding that year of

assessment, to the extent that they have been listed and

confirmed as aforesaid; or

(b)

five hundred euro (€500).

(3) No part of a tax credit which may be given to a company

for any year of assessment in accordance with these rules, shall be

refundable or given as credit against the tax on the income of that

company for any other year of assessment or the tax on the income of

any other person.

€0.18