Donations made to the following institutions are deductible in full, except:Select one:a.Donations for economic development shall be in accordance with the National Priority Plan determined by the National Economic Development Authority (NEDA)b.Non-governmental organizations (NGOs)c.Government of the Philippines or to any of its agencies or political subdivisions, including fully-owned government corporations exclusively to finance, to provide for or to be used in undertaking priority activities in: education, health, youth and sports development, human settlement, science and culture, economic developmentd.Accredited non-profit organizations recognized by the government
Question
Donations made to the following institutions are deductible in full, except:Select one:a.Donations for economic development shall be in accordance with the National Priority Plan determined by the National Economic Development Authority (NEDA)b.Non-governmental organizations (NGOs)c.Government of the Philippines or to any of its agencies or political subdivisions, including fully-owned government corporations exclusively to finance, to provide for or to be used in undertaking priority activities in: education, health, youth and sports development, human settlement, science and culture, economic developmentd.Accredited non-profit organizations recognized by the government
Solution
The correct answer is b. Non-governmental organizations (NGOs). While donations to NGOs can be tax-deductible, they are not always deductible in full. The deductibility of these donations can depend on various factors, including the specific tax laws in your country and the status of the NGO. In contrast, donations to the other institutions listed (a, c, and d) are typically fully deductible.
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