• zombuey@lemmy.world
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    2 years ago

    Just FYI this is a sort of scam. The company donates the money on your behalf and they get the tax write-off for your donation while also appearing philanthropic for PR purposes. that’s why they do it.

    EDIT: US companies cannot do this in the US you can claim up to $300 on taxes. This is legit in the US.

    • seang96@spgrn.com
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      2 years ago

      They also store it in a bank before donating to collect interest on it cause why not?

      • zombuey@lemmy.world
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        2 years ago

        Furthermore, there is no contractual agreement on how or when they donate that money. So for example those companies might and likely will hold that money in trust to the non-profit. That way the company can use money as a hedge on taxes in future fiscal periods if they had an excess.

    • Sendbeer@kbin.social
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      2 years ago

      @zombuey I’ve heard that a lot, but it is apparently not true unless the company claims your donation as a profit and then writes it off, which negates any tax benefit. I think it’s more just a PR thing to make you feel good about that company while using your own money.