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Donations and tax incentives: Evidence from South Africa

Author

Listed:
  • Fadzayi Chingwere
  • Matthew Clance
  • Nicky Nicholls
  • Aimable Nsabimana
  • Eleni Yitbarek

Abstract

This study examines the impact of tax incentives on charitable donations within South Africa, with a focus on donations declared on individuals' tax returns. Leveraging the universe of South African tax administrative data spanning over a decade (2011-21), we apply the bunching approach to assess how individual taxpayers respond to donation tax incentives.

Suggested Citation

  • Fadzayi Chingwere & Matthew Clance & Nicky Nicholls & Aimable Nsabimana & Eleni Yitbarek, 2024. "Donations and tax incentives: Evidence from South Africa," WIDER Working Paper Series wp-2024-72, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2024-72
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    References listed on IDEAS

    as
    1. Indraneel Dasgupta & Ravi Kanbur, 2011. "Does philanthropy reduce inequality?," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 9(1), pages 1-21, March.
    2. David Roodman & Scott Standley, 2006. "Tax policies to promote private charitable giving in DAC countries," Working Papers 82, Center for Global Development.
    3. Emmanuel Saez, 2010. "Do Taxpayers Bunch at Kink Points?," American Economic Journal: Economic Policy, American Economic Association, vol. 2(3), pages 180-212, August.
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