Donations from Business Assets

The tax regulation "Donations from Business Assets" enables Austrian companies, cooperatives, and foundations to claim up to ten percent of their annual profit as business expenses in the form of donations to charitable, cultural, scientific, monument preservation, or charitable projects. Through deductibility in the income tax return (Annex E1a), private donation activity is sustainably promoted and secured. Companies of all legal forms can thus both emphasize their corporate responsibility and specifically support non-profit initiatives without burdening their financial structure. The tax relief strengthens cooperation between the economy and civil society organizations and contributes to achieving socio-political objectives.

To make use of this, the timely submission of the annual tax return is required: by April 30 of the following year, or by June 30 if submitted electronically via FinanzOnline. Donations must be made to eligible institutions in accordance with § 4a EStG 1988 and listed in Annex E1a of the income tax return. The continuous funding opportunity since 1989 underscores the long-term availability of this grant scheme. Applying companies benefit from clearly defined requirements and a transparent application process that keeps administrative effort manageable while ensuring high planning security.