One in three companies redirected 20 percent of the tax per income to social causes in 2016, according to the data of the National Authority of Fiscal Administration (ANAF), at the request of the NGO Salvati Copiii Romania.
Out of the 119,594 tax-payers that registered profit in 2016, only 39,067 used this method to support the social causes.
The ANAF statistics shows that less than 10 percent of the overall amount of the tax per income was used to finance NGO projects : out of RON 14.874 billion, the overall tax per income value in 2016, only RON 1.213 billion was redirected via the 20 percent option. Thus a big part of the resulting funds remained under the state’ administration.
In comparison, in 2015 137,909 companies registered profit and out of these 21 percent registered sponsorships or private scholarships, the overall directed amount reaching RON 554 million.
Although the number of companies that realized the importance of 20 percent of the tax per profit redirection to social causes increased in the last years, not all companies used it for NGOs’ programs.
In 2012, the first year of implementation of the redirection, 125 companies redirected the 20 percent of tax per income to NGO Salvati Copiii Romania and in 2016 the number increased to 234. Salvati Copiii Romania used the collected funds for the maternities’ facilities, as Romania is on the first place in EU on infant mortality.
In six of fund collection, the infant mortality rate decreased, but Romania remains on the first place in EU on infant mortality rate.
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