It is still possible to make a donation to an association and benefit from a tax reduction in 2024, but we should not delay any longer. Donations made to associations, organizations and foundations allow you to benefit from a tax reduction of up to 75%, as long as you declare them. There are only a few days left to do so: donations made until December 31, 2023 may be taken into account in the 2023 Income Tax return, which will be made in 2024.
The tax reduction amounts to 66% of the amount of the donation for organizations of general interest or recognized as public utility, up to 20% of taxable income. More specifically: a donation of 50 euros gives the right to a reduction of 33 euros, a donation of 100 euros to a reduction of 66 euros, a donation of 500 euros to a reduction of 330 euros, etc. All amounts are added if several donations have been made to different associations during the year 2023.
75% until 2026
For donations to associations that help people in difficulty, such as Secours catholique or Restos du coeur, the tax reduction increases to 75%, within the limit of a limit set annually (beyond this limit, it returns to 66%). This limit was exceptionally increased to 1,000 euros during the health crisis and then extended until December 31, 2023. The 2024 budget, recently adopted thanks to article 49.3, further extended this system until December 31, 2026.
To benefit from the tax reduction, donations made in 2023 must be declared in 2024. It will not be necessary to attach supporting documents to your tax return, but you must keep all documents (in particular, the tax receipt sent by the beneficiary association, whether a sum of money or a donation in kind) to be able to prove the payment of these donations in the event of a subsequent audit by the tax administration.
What donations are eligible?
Not all donations qualify for a tax reduction. These donations must be made for the benefit of a recognized public utility association, an organization of general interest (social, educational, environmental, heritage, artistic, charitable, etc.) or an authorized foundation. Donations to religious associations, that is, religious, are also entitled to tax reduction.
If we think especially about the classic payment of sums of money, it is also possible to benefit from a tax reduction for donations in kind, the value of which must then be determined. These can be material goods (computer equipment, for example) or food, but also the loan of a premises or a service offered.
Source: BFM TV
