THIS always annoys me.
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This is a commonly repeated myth but it isn't true. Nobody gets a tax write off in point-of-sale fundraising. Charities ask stores to do it because it's one of the most efficient and effective ways for a charity to raise money. Chairty events are costly, and asking people on the street gets a lot of rejection. Stores agree to do it because they get to run ads saying they helped raise millions for charity and the charity will usually shout them out as well.
Damn, I didn’t know I was duped. I do wonder how this holds up in countries other than the US.
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Remember that none of the people working there have any say in the matter either, and are most likely struggling themselves. The system was made broken.
I never take out my frustration on the employees, but one time I did mutter, I'm still waiting for someone.... any one ....to give me something for free.
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Congrats, you understand that the government taxing them and using the money to fix social problems will work infinitely better than charity ever has.
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I never take out my frustration on the employees, but one time I did mutter, I'm still waiting for someone.... any one ....to give me something for free.
Oh man I feel ya.
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This is a commonly repeated myth but it isn't true. Nobody gets a tax write off in point-of-sale fundraising. Charities ask stores to do it because it's one of the most efficient and effective ways for a charity to raise money. Chairty events are costly, and asking people on the street gets a lot of rejection. Stores agree to do it because they get to run ads saying they helped raise millions for charity and the charity will usually shout them out as well.
wrote on last edited by [email protected]I work for a retailer and have been loosely involved in a project like that a few years ago.
Basically, it felt like it was mostly a very inexpensive way for the company to get everyone involved feel good about themselves. The free advertising was definitely an argument to get the higher-ups on board, but my impression was that it was kinda secondary compared to the kinda fake good conscience it gave everyone.
There was definitely no tax breaks for that initiative though, so at least in my country that is indeed a myth
EDIT: You also get to say in your annual report to the shareholders that the company helped raise x millions euros to charities at no cos, which in turn makes them feel good about themselves without impacting their profits.
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Why do they never offer to match donations? I'd probably consider it if they did.
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This is a commonly repeated myth but it isn't true. Nobody gets a tax write off in point-of-sale fundraising. Charities ask stores to do it because it's one of the most efficient and effective ways for a charity to raise money. Chairty events are costly, and asking people on the street gets a lot of rejection. Stores agree to do it because they get to run ads saying they helped raise millions for charity and the charity will usually shout them out as well.
I've always been curious how the money gets to the charity. Does the corporation put the donations into an account and collect interest on it before they give it to the charity?
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I've always been curious how the money gets to the charity. Does the corporation put the donations into an account and collect interest on it before they give it to the charity?
And who pays the cc fees? And do they have an agreement with the cc provider for a kickback? There are so many hands involved with simple monetary transactions most people wouldn't believe it.
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Why do they never offer to match donations? I'd probably consider it if they did.
Because you're giving them money that they then donate and claim as their own. It's a way to get around actually donating money from their profits, while making it look like they're donating a ton for the tax write off.
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And who pays the cc fees? And do they have an agreement with the cc provider for a kickback? There are so many hands involved with simple monetary transactions most people wouldn't believe it.
Charity is profitable.
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Because you're giving them money that they then donate and claim as their own. It's a way to get around actually donating money from their profits, while making it look like they're donating a ton for the tax write off.
wrote on last edited by [email protected]That's not how it works, at all. Businesses can't claim donations they collect on behalf of a charity as a deduction.
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The reason they ask for donations is because they can pool the donations together, say they’re donating, and then get a tax write off. They are just trying to make free money.
You should delete your misinformation.
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They likely do donate and this is a way for them to make that money back.
It's not. Literally the only benefit the business gets is bragging rights.
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That's not how it works, at all. Businesses can't claim donations they collect on behalf of a charity as a deduction.
A friend in the field had told me that they preemptively make donations to offset their taxes. Let say it’s 1million dollars. they put up 1 million dollars of their own money, then they gather donations at the till towards this charity to pay themselves back for the money they spent.
Again just what I’ve heard.
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A friend in the field had told me that they preemptively make donations to offset their taxes. Let say it’s 1million dollars. they put up 1 million dollars of their own money, then they gather donations at the till towards this charity to pay themselves back for the money they spent.
Again just what I’ve heard.
Your friend is wrong, or the company he works for is committing fraud.
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A friend in the field had told me that they preemptively make donations to offset their taxes. Let say it’s 1million dollars. they put up 1 million dollars of their own money, then they gather donations at the till towards this charity to pay themselves back for the money they spent.
Again just what I’ve heard.
I had a friend who once told me his brother discovered Alaska while riding in a hot air balloon. I wonder if we have the same friend.
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And who pays the cc fees? And do they have an agreement with the cc provider for a kickback? There are so many hands involved with simple monetary transactions most people wouldn't believe it.
It’s a good question. The flat fee is already covered by your item purchase, so at worst it would be 2.5-3.5% of the donation amount, which isn’t terrible.
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Your friend is wrong, or the company he works for is committing fraud.
company committing fraud
Well yes, it's a corporation.
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I had a friend who once told me his brother discovered Alaska while riding in a hot air balloon. I wonder if we have the same friend.
Possibly, is his name Jeff?
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This post did not contain any content.wrote on last edited by [email protected]
THIS IS PURELY A METHOD OF AVOIDING TAXES.Never donate to charities through one of these big companies. If you want to donate, then do so directly.
Anything else just helps the corporation wash their image by gathering money and then donating to whichever cause.
They do so and also take all of that money off of their taxable requirement.Edit: was wrong.
