I never see the results of all the asking either, the large cheques that you see posted in the front of these stores never seem to amount to the millions of dollars you would think. In the end they will claim the value of the money given as tax break for the business and you get poorer. Funny that.
My grandparents ALWAYS CALLED THIS A SCAM
And they get credit for donating even tho it was actually their customers.
In many cases they also cause the child hunger by paying their employees a wage so low that food assistance is required.
They do not get credit for facilitating your donation. This is a misunderstanding of how donating works based on when I looked it up after saying the same thing. They do it mainly to virtue signal. Either way I share the sentiment of the post.
I think by credit he means they get to brag about how much they “donated”.
Everyone should know by now they don’t get any tax advantages.
If only in the form of a tax break. You’re literally donating to the company asking for the cash.
They want you to give them a tax break. It’s a scam like all capitalism is.
Bloody Shell asked me the other day if i wanted to donate money to some shell sponsored forests. Yeah right, fuck off multinational capitalist scum
Those are probably their ‘carbon offsets’ too so already making money and trying to make more on it.
Donations through a non profit, where the CEO and/or some of their family are on the board and paid a big salary from those donations, so only a fraction makes it to the stated goal.
I always decline, without exception.
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It’s not my duty to pull from my personal funds to support others. I ALWAYS vote to help others with my tax dollars.
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I don’t actually know where my money is going. I haven’t researched these organizations. I don’t know where my money ends up.
So what you’re saying is you’d rather have your money taken from you by force, as long as it’s lawful and you get to pretend you have a say in how it’s used…
I think what they are saying is that they’d rather the burden be distributed equitably across the populace instead of placing the burden entirely on good people.
You really think bad people pay taxes? They’re the ones collecting them!
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As far as the world knows, they did. It was the $20 you gave them.
and you didn’t give them $20 so they had to let the orphans starve, nothing they could do.
I’ve been given the “corporations should be able to run their business how they want and government shouldn’t ban things like they banned weed” too many times on lemmy.
We should ban for profit corporations from doing certain things, this is one of them.
We know they’re using the money as a tax writeoff. Ban this shit. Not everything is drugs.Edit: looks like afaik its not tax deductible for corporations to do this though I would not put it past a small business or local manager to try it. I would prefer other methods for charitable donations other than how well they negotiate with box stores, etc.
I don’t know how it is in your country but last time I checked, it was not used as tax writeoff. Are you sure it is the case ? Because I hear this a lot on the internet and no one bother to check if this is true or not.
It appears as of 2021, you are correct. I still suspect funny business going on but I think you’re right about the taxes.
Edit: I do think that corporations are able to write off fees and services associated with collecting the donations such as technical and administrative costs though its likely very small in comparison to actual donations.
More likely the donations help with employee and customer retention/morale.
I often pass an intersection where a woman is selling ice cold water bottles, and in the other direction, her husband (I assume) is selling flowers. I almost always buy 2 bottles of water from her.
I know that my money is going directly to help a hard working family, instead of some “charity,” where only about 20% goes to the actual research, while executives take millions in compensation.
I used to watch this happen all the time in South Carolina where I used to live… But I also used to do it myself, I’d be like, well hell if we’re gonna sit out here and panhandle, we might as well do it in a group! You knew one thing - that caused a need for - the other thing and then - that other thing would belong to the next thing. It’s a good base strategy.
I’ve been saying this for years.
Well they will make the donation, but they’ll do it with your money, and then they’ll take the tax deduction for it, and reward themselves with a nice fat end of year bonus from the tax savings. Isn’t capitalism fun?
That’s not how tax deductions work. All the write-offs allow is for them to not count the money donated as income, so they make the same amount of money on the sale whether or not you donate.
The benefit to the company is PR or donating to a non-profit with a mission that aligns with their corporate goals. For instance, Bass Pro may ask you to donate to wildlands preservation non-profits that maintain environments in which people fish and hunt.
But isn’t it true that whatever they don’t pay in taxes via writeoffs, they get to keep and use however they want? They might choose not to give themselves a bigger bonus with those savings on taxes, but…I do doubt it for some reason
Write-offs are deductions from income, not reductions in taxes owed. They only get to deduct the taxes they would have paid if they had kept the donations.
Let’s imagine their annual income was $10,000,000. Their nominal tax rate would have them owing $2,100,000.
If they received a $100,000 in donations, that would make their income 10,100,000. But with the donations they could write off the 100 grand, reducing their tax bill by $21,000, for a total of $2,100,000.
Either way, they pay the same in taxes with or without the donations.
I stand corrected, thanks! I always assume they’re finding a way to directly enrich themselves further, because they often are.
It ends up being net zero. They’re only writing off the money you donated. They still have to count the money you donated towards their overall revenue, increasing their tax bill, but then they pass the donation on, allowing them to write it off, reducing their overall revenue (and thus their tax bill) to what it would have been if you hadn’t donated.
If they donate money out of their own profits, they CAN write that off. Which of course is also money you gave them, except it’s money you gave them in order to buy their products, not for the purpose of having them donate it.
I donate a fair bit of money relative to my income bracket. Sometimes it’s directly to places that need it. Sometimes it’s by donating goods instead of money. Sometimes it’s by entering raffles at work, or buying candy from kids at the store, or a coupon book from veterans.
And sometimes it’s by donating at the till. Look, corpos suck. But one of the only good things they do is solicit donations at the till.
Stores process thousands and thousands of transactions a day, and if even only a handful of those people decide to round up or add a little bit more on top, it adds up to so much money for good causes that I guarantee would not otherwise ever get donated.
And please, please can we put this myth to rest: in no country that I am aware of can a company claim your donations on their taxes. Those donations are yours and yes, you can claim them on your taxes if you are willing to do the work of keeping the receipt and itemizing your deductions. I do this every single year.
Those donations are yours and yes, you can claim them on your taxes if you are willing to do the work of keeping the receipt and itemizing your deductions. I do this every single year.
Fwiw in Australia only donations over $2 are tax deductible. So round-up donations probably aren’t, unless you’re rounding from $47.95 to $50 or something.
Good to know, thanks!
I had a dream where pretty much the same prompt came up but it was offering me a discount for being poor
If it could be verified that they at least matched donations, they might have better luck
