Donation Tax Credits in New Zealand: How to Claim

New Zealand rewards charitable giving through the donation tax credit, which refunds a third of your donations back to you. If you donate to approved organisations, you can claim a tax credit of 33.33% of the donation amount — making generosity more affordable.

How the Credit Works

The donation tax credit gives you back 33.33 cents for every dollar donated, up to your taxable income for the year. This is a credit (not a deduction), so it directly reduces tax owed.

Example: You donate $900 to a registered charity during the year.

• Tax credit: $900 x 33.33% = $300 refund

There is currently no dollar cap on the credit amount, as long as your total donations don’t exceed your taxable income for the year. This changes from 1 April 2027 (the 2027-28 tax year): Budget 2026 introduced a $100,000 annual cap on eligible donations, capping the maximum credit at $33,333.33/year. This only affects a small group of very high-value donors (a few hundred filers nationally) — for donations up to $100,000/year the math on this page is unchanged. See the $100k donation cap guide if your annual giving is near or above that threshold.

Work out your credit Donation Tax Credit Tax credit on donations to approved donees: 33.33% of donations, capped at $100,000/year from 1 April 2027 (Budget 2026, first applies 2027-28). Open →

Eligible Donations

Not all donations qualify. To be eligible, a donation must be:

• Made to an organisation with donee status approved by IRD
• A monetary gift of $5 or more
• Not made in exchange for goods or services (raffle tickets, event tickets with a benefit, or merchandise don’t count)

Approved organisations include registered charities, schools, churches, public hospitals, and certain community organisations. You can check if an organisation has donee status on the Charities Register.

What Doesn’t Qualify

• Donations to overseas charities (unless they have specific NZ donee status)
• Membership fees where you receive benefits in return
• Koha or gifts to individuals
• Donations to political parties (these have a separate regime)
• Payments for raffle tickets, auction items, or fundraising events where you receive something in return

How to Claim

Online Through myIR

1. Log in to myIR at my.ird.govt.nz
2. Go to the “Donation tax credits” section
3. Upload or enter your donation receipts
4. Submit your claim

You can claim at any time after the end of the tax year (1 April), up to four years after the year the donations were made.

Paper Form

You can also complete an IR526 form and post it to IRD with your original donation receipts.

Receipts You Need

Each receipt must show:

• The organisation’s name and IRD number
• Your name
• The date and amount of the donation
• A statement that it is a tax-deductible donation

Keep receipts for at least four years, as IRD may request them.

Employer Payroll Giving

Some employers offer payroll giving, where donations are deducted from your pay before tax. With payroll giving, the tax credit is applied immediately each pay period — you don’t need to wait until the end of the year to claim. The effective cost to you is the same, but the cash-flow benefit is immediate.

Timing Your Claim

You can claim donation tax credits for the current year or up to four previous tax years. If you’ve forgotten to claim in past years, you can still submit receipts for older donations and receive a refund.

Sources

• Donation tax credits — IRD
• Payroll giving — IRD