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Tax relief on donations to Charity
Where an individual makes a donation to a Registered Charity that exceeds €250 during the course of a calendar year, tax relief can be claimed.
The method by which tax relief is granted depends upon whether you are either a PAYE worker or a Self-employed individual as outlined below:
PAYE workers
If you are a PAYE worker resident in Ireland who pays tax, the value of your donation can be increased by completing a simple form called CHY2 CERT (see PDF below) and sending it to your nominated Charity.
This will enable the Revenue Commissioners to pay an additional amount to the Charity depending upon the rate at which you pay tax:
|
Your tax rate
|
Your donation
in the year
|
Extra payment to
Charity by Revenue
|
Total received
by your Charity
|
|
Standard rate 20%
|
€250
|
€62.50
|
€312.50
|
|
Higher rate 41%
|
€250
|
€173.73
|
€423.73
|
Self-employed individuals
If you are a self-employed taxpayer resident in Ireland, tax relief is granted by including details of your donation on your annual tax return.
The actual cost of your donation is reduced due to the fact that you will pay less tax to the Revenue Commissioners:
|
Your tax rate
|
Your donation
in the year
|
Reduction to
your tax bill
|
Actual cost of
your donation
|
|
Standard rate 20%
|
€250
|
€50
|
€200
|
|
Higher rate 41%
|
€250
|
€102.50
|
€147.50
|
Claim for the last 4 years
If you have previously made donations to a Registered Charity but not submitted a claim, we recommend a review be completed of the last four years as it could be extremely valuable to you and/or your nominated Charity.
Further assistance
If you have any questions, please contact a member of our professional Team on +353 74 912 280 or email us at mail@edwinfoley.com.
Downloads The following downloads are available. Form CHY2 CERT - PAYE workers donations to Charity [272 KB]