The Music for Life Trust (MFLT) is a Non-Profit organization in South Africa, deriving all of its funding from charitable donations. As a registered non-profit organizaton, donations that you make to the MFLT may be eligible for a tax deduction as described below:
Deductibility of Donations
An individual or company is entitled to deduct from taxable income a donation (in cash or in kind) to a Public Benefit Organization carrying out specified public benefit activities. These organizations are sometimes referred to as “Public Benefit Organizations with Donor-Deductible Status.” The donation must be supported by a receipt issued by the Public Benefit Organization, and it cannot exceed 10 percent of the taxable income of the taxpayer.
The Public Benefit Activities approved by the Minister of Finance for purposes of Section 18A are set out in Part II of the 9th Schedule to the Income Tax Act. A variety of activities are approved, and they fall under the following headings:
- Welfare and Humanitarian
- Health Care
- Education and Development
- Conservation, Environment and Animal Welfare
- Land and Housing [ ITA Schedule Nine §2 (1-5)]
Please refer to the South African Revenue services or a qualified tax accountant for more information.