Non-Profit News Service No. 0320 - Support for earthquake and tsunami victims in Japan

The Assistant Treasurer has announced his decision to recognise the earthquake and tsunami in north-eastern Japan on 11 March 2011 as a disaster for tax purposes.

Organisations wishing to establish a tax-deductible fund to assist victims should refer to Developed country disaster relief funds.

Organisations seeking endorsement for a 'developed country disaster relief fund' must apply to us for endorsement as a deductible gift recipient.

An extract of the Assistant Treasurer's media release No. 041, dated 14 March 2011 is below. The full media release can be viewed on the Assistant Treasurer's website.

Declaration of a disaster for the purpose of tax deductibility - Japan earthquake and tsunami

The Assistant Treasurer, the Hon Bill Shorten MP, today declared that the earthquake and tsunami that hit North-Eastern Japan on 11 March 2011 a disaster for tax purposes.

This declaration allows Australian taxpayers to claim an income tax deduction for donations made to the relief effort.

Funds still need to apply to the Australian Taxation Office (ATO) for formal endorsement, and the ATO has established a fast track process for this purpose.

Donations to funds are tax deductible for a period of two years from 11 March 2011. Taxpayers should ensure that they retain a receipt for their donation.

For information about collecting funds and making donations to help victims of disasters generally, refer to Assisting victims of disasters. For information about the Non-Profit News Service, including how to subscribe and links to previous articles, see About the Non-Profit News Service. We encourage your feedback and suggestions for future topics to be covered by the news service. You can do this by: emailing us at npc-publications@ato.gov.au phoning us on 1300 130 248.