Study: Donations in Other Countries—Are They Tax-Deductible?

As part of our ongoing efforts to grow global philanthropy, Global Impact works with corporations with world-wide reach to establish signature funds, a major investment by a company in a particular charitable cause, issue or theme. To further develop these funds, Global Impact commissioned professional services firm KPMG to identify the registration, fiduciary, and legal requirements and availability of tax deductions for charitable contributions in more than 40 countries.

The study, titled “Donations in Other Countries—Are They Tax-Deductible?”, looked at whether local tax codes allowed for charitable contributions and under what circumstances they are tax deductible.

The study found that although tax deductions for charitable contributions are permitted for both individuals and corporations in most countries, there are a few countries where this benefit does not exist. Furthermore, most countries require charitable contributions to be made to local entities, but often, funds may be used by local charities for global philanthropy projects.

The study report reflects the findings of the analysis and makes recommendations regarding potential options for receiving and distributing funds to grantees based either in-country or out of country.

The options reflect the feasibility in each country for the use of an intermediary/partner including:

  • U.S.-based fiscal agent
  • Global fiduciary agent with a charitable purpose
  • Local entity such as a bank, nongovernmental organization or association, where it may be required

For more information about the study or how Global Impact can help your organization achieve its philanthropic goals, please contact Vice President of Partner Solutions Ann Canela at [email protected] or 703-717-5224

About Global Impact

Global Impact is a leader in growing global philanthropy. The organization builds partnerships and raises resources that help the world’s most vulnerable people by providing integrated, partner-specific advisory and secretariat services; campaign design, marketing and implementation for workplace and signature fundraising campaigns; and fiscal agency, technology services and integrated giving platforms. Global Impact works with approximately 450 public and private workplace giving campaigns to generate funding for an alliance of more than 120 international charities. Through strategic council and implementation support, Global Impact equips private sector and nonprofit organizations to achieve their philanthropic goals. The organization serves as administrator for one of the world’s largest workplace giving campaigns, the Combined Federal Campaign-Overseas. Since 1956, Global Impact has generated more than $1.7 billion to help the world’s most vulnerable people.

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