TAX BENEFITS TO DONORS
IN TERMS OF SECTION 18A
Please note! SARS has new requirements for information about the donor to appear on the 18A receipt!
Abraham Kriel Bambanani is a non-profit company and is registered as a Public Benefit Organisation (PBO). This allows a tax benefit to Abraham Kriel Bambanani’s donors. Abraham Kriel Bambanani may issue Section 18A receipts for bona fide donations, which allows for donations of up to 10% of taxable income to be deducted from such income, as stated in the Act.
You can view our Tax Exemption letter from SARS by downloading from the button below.
DONATIONS THAT QUALIFY FOR TAX CERTIFICATES ARE
Financial contributions:
Proof of payment of the donation within the financial year in which the donor wishes to claim it is essential.
Donations in Kind:
Any bona fide gift of goods to Abraham Kriel Bambanani that qualifies on the provisions provided by the SARS guideline document.
This can include:
- Non-perishable foods
- Consumable goods
- New clothes
- New capital items such as TV’s, stoves, fridges etc.
- Trade goods of the donor
- Donations of necessary materials for maintenance work such as paint, glass, light fittings, geysers etc
Documented proof of the value of the donated goods must be supplied in order for fair market value to be assigned and recognised.
The following items DO NOT qualify:
- Second hand goods.
- Gifts to staff and beneficiaries
- Pro bono services.
- When the donor company pays a supplier directly for a service of product on behalf of Abraham Kriel Bambanani.
- Payment for goods or events. E.g. buying a ticket for or an item at a charity auction
Sponsorships.
Note: Abraham Kriel Bambanani keeps a record of all donations in kind given and how it was used but does not assign a value to donations in kind. The onus is on the donor to prove the cost for recording and submission to SARS.
Some preconditions:
Donations must be recorded and reported at the point of receipt, with full contact details of the donor and within the financial year for which the 18A receipt is issued. A valid postal address for the donor must be provided to appear on the tax certificate for it to be acceptable to SARS.
Click here for more information about tax exemption. Alternatively go to www.sars.gov.za
Please inquire at marketing about preconditions prior to making your donation as CONDITIONS do apply.