Tax Deduction Scheme for Grantmakers

Donors who donate to qualifying grantmaking philanthropic organisations ("Grantmakers") may get tax deduction on their donations.

Tax Deduction for Donors

Donors who donate to Qualifying Grantmaking Philanthropic Organisations ("Grantmakers") would qualify for 300% tax deduction for donations made from 1 Jan 2015 to 31 Dec 2015 and 250% tax deduction for donations made from 1 Jan 2016 to 31 Dec 2018.

Under this scheme, Grantmakers will be allowed to grant tax deduction at the point of donation by the donor from the date of successful registration. This is applicable even where the Grantmaker itself is not an IPC.

Qualifying as Grantmaker

To qualify as grantmaker, the organisation must:
  1. Either be a registered charity under the Charities Act or a grantmaker approved under the NPO tax incentive scheme administered by the Singapore Economic Development Board (EDB);
  2. Channel the donation intended for the IPC to a segregated account/fund ("designated IPC fund") that is designated for donations to IPCs only;
  3. Be responsible for issuing the tax-deduction receipt to the donor, and it must distribute the donations to IPCs within five years of receipt of the donations from the donors;
  4. Be liable to pay to IRAS a financial penalty of the amount ascertained by the formula 0.4x the total value of the donations for:
    1. Any amount of tax deduction that has been incorrectly granted or that is not properly due to a donor; and
    2. Any amount of tax deduction granted on donations that are not disbursed within the five-year timeframe.
  5. Distribute any remaining funds/assets to IPCs within one month upon dissolution of the designated IPC fund;
  6. Put in place proper procedures to ensure that the donations are in fact channeled to IPCs;
  7. Keep proper records such as the identity of each donor, date of donation, amount of donation received from each donor and the amount of tax deduction receipts that was issued to each donor for at least seven years;
  8. Submit details of cash donation received and disbursed in the format prescribed by IRAS on an annual basis; and
  9. Subject the designated IPC fund to an annual external audit and submit the annual audited accounts to IRAS within one month of the date of the audit report.

Registering as Grantmaker

To register as a grantmaker under the tax deduction scheme, the organization must:

  1. Submit a Letter of Undertaking to IRAS; and
  2. Satisfy all the qualifying conditions listed above.

List of Registered Grantmakers


 S/NName of Organisation  Effective Date of Registration
1 Temasek Foundation International CLG Limited 1 Apr 2007
 Temasek Trust 16 May 2007
3 CapitaLand Hope Foundation 22 May 2008
 Rose Marie Khoo Foundation 1 Apr 2010
5 Chew Hua Seng Foundation 1 Sep 2010
 Ho Bee Foundation 23 Dec 2010
 Wing Tai Foundation 23 Dec 2010
8 NTUC Fairprice Foundation Limited 13 Jan 2011
9 The Anglo-Chinese Schools Foundation Limited 29 Apr 2011
10  Keppel Care Foundation Ltd 7 Oct 2011
11 The Silent Foundation Ltd 6 Dec 2011
12  Ong Foundation 4 Sep 2012         
13 S C Wong Foundation Trust 27 Nov 2013              
14  The GZ Charitable Trust 14 Nov 2014        
15 DBS Foundation Limited  13 Apr 2015 
16 Holywell Foundation Limited  16 Jul 2015 
17 AT Capital Charitable Foundation Limited  12 Aug 2015 
18 Lew Foundation 23 Sep 2015 
19 Tan Mok Koon Charity Fund Limited 28 Dec 2015
20 RHT Rajan Menon Foundation Ltd. 28 Nov 2016
21 Octava Foundation Limited 1 Mar 2017
22 Como Foundation  20 Mar 2017 
23 Lotus Life Foundation Limited  23 Mar 2017 
24 Chow Tai Fook Charity Foundation (Singapore) Limited  7 Sep 2017 

RATE THIS PAGE

  • Strongly Disagree
  • Strongly Agree

Information is easy to understand.

Information is useful.

Information is easy to find.

 
Please email us if you would like us to respond to your enquiries.