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Further conditions for a tax-deductible contribution

To be tax deductible as a contribution, the contribution must be made by an individual to a DGR for an eligible fundraising event. The contribution has to comply with any conditions that may apply to the DGR and may be money or property, depending on the type of event.

Last updated 24 July 2017

Approved NFPs

To be tax deductible, the contribution must be made to a deductible gift recipient (DGR).

Who can claim?

A tax deduction for a contribution can only be claimed by an individual taxpayer.

Approved donation types

  • Money over $150 (at a fundraising auction donors can only claim a deduction for contributions of money).
  • Property purchased during the 12 months before making the contribution and valued at more than $150.
  • Property valued by us at more than $5,000.
  • Shares:
    • acquired at least 12 months before making the contribution
    • valued between $150 and $5,000
    • in a listed public company
    • listed for quotation on the Australian securities exchange.

Claim limits

For a contributor to claim a tax-deductible contribution, the benefit they receive must be:

  • no more than $150 and,
  • no more than 20% of the value of the contribution.

See also:

Eligible events

For a contributor to claim a tax-deductible contribution, the donation must be for an eligible fundraising event, which is a DGR fundraising event conducted in Australia, including:  

  • fetes, balls, gala shows, dinners, performances and similar events
  • events involving sales of goods if selling these goods is not a normal part of the supplier's business.

DGRs must run fewer than 15 events of the same type in one financial year for donation to remain tax-deductible.

Political donations

Fundraising events held by political parties are ineligible for this concession. Political gifts and contributions are subject to their own rules in order to be deductible.

See also:

Start of example

Example 1 – Claiming a deduction when paying with cash

Mel pays $420 to attend a charity dinner. The value of the dinner provided was $80. Her deduction is worked out by taking the cost of the ticket and subtracting the value of the dinner: $420 − $80 = $340. It is an allowable deduction because the value of the benefit ($80) is less than $150 and not more than 20% of her contribution (which would be 20% of $420 = $84).

End of example


Start of example

Example 2 – When the benefit exceeds 20% of your contribution

Bernie buys a ticket for $400 to a gala performance organised by a DGR.

The performance is normally open to the public for $100 a ticket.

Therefore, the benefit Bernie receives is $100, which is less than the limit of $150. So at this stage: Ticket price $400 − benefit $100 = $300 tax deduction.

However, the value of the benefit must not be more than 20% of his contribution: 20% of $400 contribution = $80.

So given the benefit is $100 and 20% of Bernie's contribution is $80, he cannot claim a tax deduction.

End of example