Tsunami donations get tax credits

Donations made for Tsunami Relief in the affected countries will be eligible for tax credit, says Inland Revenue Commissioner Robert Russell.

“We understand most people’s immediate response is to make a donation to help out, particularly with so many having family and friends in the affected areas.

“We want to assist by making sure they are aware of the process for applying for a tax credit,” he said in a press statement.

He said that in terms of the changes made last year, donors can claim up to a third of the amount donated during their annual taxable income period.

“This replaces the earlier maximum claim of $630. People can claim a tax credit if they donated $5 or more during the year to an approved charity. However, receipts should be submitted for all such payments,” he said.

A list of approved charities and further information about tax credits can be accessed at www.ird.govt.nz