We are a software solutions company, and would like to make a donation to a particular charity when any potential client posts about us having provided them with a potential solution using our software. We won't be receiving any payment from the clients at this initial stage, although we would hope that it would lead to a sale.
Would this be classed as a charitable donation and therefore be tax deductible? Or does the fact that we expect the client to post about us before we make the donation affect this?
Thanks
Replies (10)
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Hmm - don’t want to be charged £500
Do you regard all necessary business expenses in the same way? Why do you think you should be getting professional advice for free?
Hmm - don’t want to be charged £500
I'll give you the necessary advice for free if you donate £500 to charity.
It's a win-win
Are you expecting to make a contractual relationship with each potential client regarding the post, or is this more general ("for every post this month with the hashtag this #whatalovelysolution we will give £5 to Battersea Dogs Home")?
It might be tainted if there is a relationship between you or the client and the charity
It’s more likely to be the latter. We see it as a good way to raise our profile and help the Australian bush fire crisis, but I want to understand the implications (if there are any) first.
Nothing warms the heart more than seeing someone look to benefit out of the misfortune of others.
"Yes, of course I'll help those poor people whose lives have been destroyed, but you have to do something for me first."
Truly touching. And to top it off, you except to get free advice on how you treat it. You truly are a special kind of person, aren't you. :)
Unnecessarily harsh. You have absolutely no idea what else the OP/their business may or may not have done for the bush fire crisis besides this suggestion.
Many businesses give a portion of sale proceeds to charity. Do you object to that as well?
Plus there is a long and noble history of enlightened self interest.