Most donations were before recession started to bite; charity chiefs expect amount to be smaller this year
By
Theresa Tan & Melissa Sim
The Commissioner of Charities' annual report showed donations to Institutions of a Public Character climbing steadily. -- PHOTO: BUSINESS TIMES
CHARITIES pulled in big money last year, to the tune of $687 million, mainly from donations streaming in during the earlier part of the year, before the recession started pinching people's wallets.
The flow has since slowed, spelling lean times ahead even for big boys such as the National Kidney Foundation (NKF).
The annual report of the Commissioner of Charities showed donations to Institutions of a Public Character (IPCs) climbing steadily, from $381 million in 2001 to $475 million in 2004 and $535 million in 2006.
IPCs are charities that are allowed to collect tax-deductible donations. This means that for every $10 you donate to an IPC, $25 will be deducted from your taxable income.
There was a spike in 2007, when $820 million was collected, but the sum was 'exceptionally high' due to a few large one-off donations, said the Commissioner.
One of the charities which did well last year was the Singapore Children's Society, which pulled in $6.6 million, 9 per cent more than in 2007.
Likewise, the Asian Women's Welfare Association (AWWA) also collected about $1 million in its last financial year, up from about $800,000 the year before.
The report detailed the collections of the 504 IPCs. Over 60 per cent of donations went to charities providing education or social services.
The report also said that individuals donated 31 per cent of the total amount, while the rest came from companies - similar to the year before.
However, charity chiefs say the prospects this year are bleak. Charities interviewed all say companies are cutting back on their giving.
Please read the full story in Wednesday's edition of The Straits Times
