How to give 50% more to the causes you care about, at no extra cost

Gift Trust news

Did you know theres a simple way you can give up to 50% more to your favourite causes without spending an extra dollar yourself?

What if we told you there was a simple way to give up to 50% more to the charitable causes you care about and that it wouldn’t cost you a cent more? Most charitable Kiwis already have the opportunity to do this but are sadly missing out simply because they don’t know about it.

Most Kiwis are eligible to claim one-third of their total donations each year as a tax refund from the IRD, but incredibly, most of us don’t bother. If you’re one of those then you’re missing out on the chance to gift that refund back to the charities you support, increasing your donation at no cost to you.

But, even more incredibly, if you use those donation tax refunds wisely and gift them back to the charities you support each year, you could get the IRD to effectively match your donations by up to 50%. Heres how…

If you meet the basic criteria listed below and you donate to approved charitable organisations (The Gift Trust is one, as are most registered charities, but check with the IRD if you’re not sure), you can claim 33% of the total donations you make as a tax refund at the end of the year. But lets see what happens if you decide to donate that refund back to the charity you originally supported…and then did that year after year without giving any more of your own money.

By the time you’re done, the IRD has put in nearly 50 cents for every dollar you’ve donated. Thats a pretty incredible matched funding scheme!

You can submit your donation tax claims on the IRD website here.

You have to meet these criteria to claim a tax credit on your donations:

  • Your donations should be made as an individual and not on behalf of a trust, partnership or company (although there are also tax refunds for company donations – read more here).

  • Your donations should be made to an approved donee organisation (The Gift Trust is approved as are most registered charities)

  • You must be a New Zealand tax resident at any time during the tax year.

  • You can only claim on donations that added up to the same amount or less than your taxable income during the tax year.

  • You must claim the tax credit within four years of your donation.

We also have a useful donation tax fact sheet here. If you’d like more support to help you proactively plan and manage your gifting, get in touch.

“The Gift Trust provides a personalised service for my plan to give, donate and support the causes that are important to me at a reasonable cost.”

— Gillian, Gift Trust donor

"The gift accounts offered by The Gift Trust are a good option for individuals or organisations wanting to consolidate their charitable giving. I encourage all financial advisers to consider this important development."

– Dr Rodger Spiller, Financial Adviser, Money Matters

“An area of importance to our clients is charitable giving. The Gift Trust offers an opportunity to streamline the gifting process, while adding increased confidence and transparency. It also provides robust due diligence of eligible charities and access to additional support services for clients with complex needs.”

— Philip Stevenson, Bloomsbury Associates. CEFEX Certified Investment Adviser

“We would like to recognise and offer thanks for the support we receive though The Gift Trust’s donation. An annual donation from one of your donors is one of the largest donations that Kaibosh receives each year and has been absolutely pivotal to our ability to operate with confidence and to expand our operation across the Hutt Valley. We are extremely thankful.”

— Matt Dagger, Kaibosh, Gift Trust grant recipient

“My gift account has made my giving easy. It lets me get straight to the fun and satisfying part of giving to the causes I care about, without the hassle.”

— Anake, Gift Trust donor

"The Gift Trust provides a flexible and robust structure, to support donors' charitable giving intentions, while still enabling them to have a say in the investment of donated funds."

– David Ireland, Partner, Dentons Kensington Swan

"A Gift Account with The Gift Trust is a great option as an alternative to setting up a charity or private foundation while still preserving clients' control over their giving."

– Steven Moe, Partner, Parry Field Lawyers

"The administration and ongoing compliance requirements involved in setting up a private charity can be onerous, and even risky. Setting up a Gift Account allows The Gift Trust to look after those requirements, and provide support that allows the donor to focus on what they really want to do with their gifts."

– Sue Barker, Sue Barker Charities Law

"The Gift Trust takes the guesswork out of giving. Having support with research and due diligence on donations ensures that funds are truly making the desired impact. It has been a real pleasure to work with The Gift Trust."

– Ben, Gift Account holder

Get in touch

    PO Box 19120, Marion Square
    Wellington, New Zealand

    04 391 4438