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  • #972584
    sar10
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    Im currently in the process of working this all out. I have a website that I got up and running last week selling kids toys, but now i have changed my mind and want to sell pre-loved toys. I also am going to donate 10% from every sale to a selected charity. Was just wondering If i need to know anything or register for anything if im going to be donating.

    Thank you for your help/advice in advance
    Sarah.

    #1056978
    bluepenguin
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    My wife runs a similar business, selling pre-love clothes and giving a portion of the profit to charity.

    In her first year she got into a bit of a pickle because she had given money to charities that were not tax deductible. She ended up giving heaps of money away, but also ended up with a huge income tax bill.

    #1056979
    ideaswoman
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    bluepenguin, post: 69973 wrote:
    My wife runs a similar business, selling pre-love clothes and giving a portion of the profit to charity.

    In her first year she got into a bit of a pickle because she had given money to charities that were not tax deductible. She ended up giving heaps of money away, but also ended up with a huge income tax bill.

    I was looking into doing the same. For micro business your best option is connecting with a foundation already set up that donates to various charities. Some banks have foundations set up as well.

    The charity I want to donate to is in the UK and so does not have the correct status here for accepting donations so this is on hold for now until I set up my own foundation.

    Hope this helps!

    #1056980
    adfitz
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    sar10, post: 69960 wrote:
    Im currently in the process of working this all out. I have a website that I got up and running last week selling kids toys, but now i have changed my mind and want to sell pre-loved toys. I also am going to donate 10% from every sale to a selected charity. Was just wondering If i need to know anything or register for anything if im going to be donating.

    Thank you for your help/advice in advance
    Sarah.

    Hi,

    There was a posting on here acouple of months ago about a business partnership opportunity with UNICEF; just for small and solo businesses.
    I’m an accountant. solo-business. and i prtnered with them. get use of website. + they have a % of sales option, which i endorse in my marketing.

    http://www.unicef.org.au/Business/Become-a-UNICEF-micro-business-partner.aspx

    #1056981
    Mike Friz
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    I have been looking into this recently too and agree with the previous posts about tax detectability. In order to claim the cost as a tax detectable expense in the company, the recipient needs to be classified by the ATO as a Deductible Gift Recipient.

    You can find more information on DGR’s and the implications of making donations to them in the ATO Giftpack.

    This page has good information no how to check if a company is a DGR in Australia.

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