4 April 2004

TAX Benefits for NGO’s

The South African government has recently passed legislature that grants non-profit organisation privileges with regards to tax.

In order to derive these benefits, one must be registered as a non-profit organisation with the government before the end of 2004. Even those organisations that are registered will have to reregister under the new legislation.

With the large number of NGOs canvassing funds from the private sector, many performing similar functions, those that have a favourable tax status are more likely to receive funding. Although tax is not the reason people give for social upliftment, it is more beneficial for a donor to support a tax-favourable one rather than one that isn’t.

This site will provide you with the information you need so that your organisation can benefit from these exemptions.

One of the requirements for your organisation to become tax exempt is that you have a compliant founding document (constituition or trust deed). To create your founding document online.

To read more about the changes in legislature, view the next topic Changes in Taxation Laws and NGOs.

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