South Africa: The Solidarity Fund
South Africa:The Solidarity Fund
The Fund provides a platform for both the public and private sectors to contribute towards the various initiatives supported by the Fund.
The Solidarity Fund (the Fund) was created on 23 March 2020 in order to assist the fight against COVID-19. The Fund provides a platform for both the public and private sectors to contribute towards the various initiatives supported by the Fund. Donations made to organisations established to carry out benefits for the public are generally exempt from donations tax.
A taxpayer is allowed to deduct up to 10% of their taxable income (base limit) in respect of any bona fide donation which was paid or transferred during the year of assessment to certain public benefit organisations (PBOs). 2 In order to encourage donations to the Fund, extended tax relief measures have been put into place in terms of section 18A of the Income Tax Act No 58 of 1962 (the Act) and paragraph 2(4)(f) of the Fourth Schedule to the Act.
© 2022 KPMG Services Proprietary Limited, a South African company with registration number 1999/012876/07 and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved.
For more detail about the structure of the KPMG global organization please visit https://home.kpmg/governance.