Donations made by enterprises for public welfare undertakings through public welfare social groups or people's governments at or above the county level and their departments, within 12% of the total annual profits, are allowed to be deducted when calculating taxable income. . The total annual profit refers to the amount greater than zero calculated by the enterprise in accordance with the provisions of the national unified accounting system.

Donations made by individuals to public welfare undertakings through social groups and state agencies are allowed to be deducted before income tax in accordance with current tax laws, administrative regulations and relevant policies.

Extended information

Public welfare social groups that meet any of the following circumstances shall be disqualified from pre-tax deductions for public welfare donations:

(1) Failure to comply with annual inspections Those who are qualified or whose latest social organization assessment grade is lower than 3A;

(2) There is fraud when applying for pre-tax deduction qualifications for public welfare donations;

(3) There is tax evasion Acts or facilitate tax evasion by others;

(4) There are activities that violate the articles of association of the organization, or donations accepted are used for expenditures other than those specified in the articles of association;

(5) Subject to administrative penalties.

Baidu Encyclopedia - Notice of the Ministry of Finance, State Administration of Taxation, and Ministry of Civil Affairs on Issues Concerning Pre-tax Deduction of Public Welfare Donations

Baidu Encyclopedia - Notice on Issues Concerning Pre-tax Deduction of Public Welfare Donations Supplementary Notice