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DGFIP Study Reveals Significant Increase in Donations and Corporate Sponsorship Declared for Taxes Between 2011 and 2021

The DGFIP study looks at donations and corporate sponsorship declared for taxes between 2011 and 2021.Credits: Carenews

In its study published in January 2024, the General Directorate of Public Finances (DGFIP) lists for the first time the figures for donations to associations declared by individuals and businesses as part of tax declarations from 2011 to 2021. On the decade, the evolution shows an increase in declared donations and corporate sponsorship.

Credits: Carenews

5.9 billion euros in donations in 2021

Between 2011 and 2021, donations declared by individuals increased from 2.14 billion euros to 3.26 billion euros. Corporate donations have passed from 1.15 billion euros to 2.61 billion euros. In other words, in ten years, corporate donations declared to the tax administration have more than doubled and those from individuals have increased by 50%.

In 2021, 5.9 billion donations in total were declared to the tax administration either an increase of almost 80% compared to 2011, when the total donation figure stood at 3.29 billion euros.

The State covers half of the 2021 donations through the tax reduction mechanism. The amount of tax deductions assumed by the State is thus increased from 1.9 to 3 billion euros in ten years.

The number of corporate sponsors on the rise

Between 2011 and 2021, the number of individual donors remained stable. These represent between five and six million tax households. The number of corporate sponsors has for its part tripled to reach 110,000 companies in 2021.

From 2015 to 2021, 75% of large companies gave systematically, compared to 25% of small and medium-sized businesses (SMEs) and 10% of very small businesses (VSE). Over this period, donations from large corporations represent half of reported corporate donations and are increasing by almost 50%. Since 2015, however, it is the amounts of donations from the smallest companies that have increased the most.

For individuals, declaration of donations becomes more frequent as age increases. Donations declared for income tax are on average twice as high among households aged over 70, to the tune of 700 euros, than among those under 25.

Read also : Infographic: who are the beneficiaries of sponsorship?

Corporate foundations, privileged beneficiaries of companies

The DGFIP details the organizations benefiting from corporate donations for amounts greater than 10,000 euros, or 68% of donations declared in 2020. For 28.6% of donations, corporate sponsors favor corporate foundations rather than other forms of sponsorship. Foundation donations come 75% from large companies and 25% from mid-sized companies.

Public establishments and associations acting in the health sector captured a tenth of corporate donations. Half of their donations come from industrial, financial or insurance companies, most of them large companies.

Among the other main beneficiaries of patronage, we find food aid associations and those offering other types of solidarity which largely receive their donations from commercial companies, particularly in kind, notes the study.

Then come the associations which work in the field of culture, education and sport. In 2020, they received respectively 7.1, 6 and 3.2% of the main donations from corporate sponsors. Environmental associations and foundations are those which collect the least corporate donations, at 1.2% in the same year.

Elisabeth Crépin-Leblond

2024-01-24 00:18:21
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