Deductible for taxes implies an expense that a taxpayer or business can subtract from adjusted gross income, which reduces their income, thereby reducing the overall tax they need to pay.
The FIRS consequently issued a tax-deductible donations certificate to Adeosun’s DashMe Foundation, last week in Abuja.
The foundation, a Lagos-based charity with operations in Nigeria, the United States, and the United Kingdom was founded by the former minister in June 2021.
The donation relief provision aims at encouraging corporate bodies in Nigeria to channel their corporate social responsibilities (CSR) donations to carefully-vetted non-governmental bodies, associations, and institutions engaged in life-changing, socially-relevant projects.
However, the foundation, in a statement made available to THISDAY yesterday said corporate organisations that donate to it would now enjoy donation relief under its new status, which is an allowance to deduct their donations from their taxable profits.
Adeosun expressed delight at the FIRS’s tax-deductible donations certificate to her charity.
She said the foundation was recently granted a similar certificate in the United States, adding that the approval would energise the charity’s drive to obtain the same tax-exempt status in the UK.
“The certificate will significantly enhance our capacity to raise more funds from the corporate sector and also enhance our ability to initiate more life-changing projects for Nigeria’s most vulnerable children, women and other disempowered groups.”
The interim Chief Executive Officer of the foundation, Tomisin Akinwunmi, also expressed excitement over the funding possibilities that the charity’s new status offers.
“We are thankful to the FIRS for providing us with an opportunity to raise funds at a scale that would enhance our ability to reach more Nigerians.”
She added that the foundation planned to extend its operations to all parts of the country by the end of 2023.
Its current projects include orphanage building projects in Imo and Ogun states, sponsorship of orphans in universities, provision of prosthetic limbs and start-up capital for amputees, as well as regular food donations to several orphanages and IDP camps.
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