What is a Section 18A receipt?

A section 18A is a special receipt containing prescribed information issued under section 18A of the Income Tax Act by a section 18A-approved organisation entitling the donor to an income tax deduction for a donation made

The receipt acts as proof that the donor made a qualifying donation to the Section 18A organisation.

The donor may use the Section 18A receipt to support an income tax deduction claim when submitting their annual income tax return.

In simple terms:

Section 18A organisation = the approved organisation that can issue the receiptSection 18A receipt = the special document issued to the donor as proof of a qualifying donationIT3(d) = the reporting of that receipt information to SARS in a prescribed format.A normal donation receipt is not the same as a Section 18A receipt.

Only organisations approved by SARS for Section 18A purposes may issue Section 18A receipts.

For the full IT3(d) guide, read: Understanding IT3(d)

Related question: What is a tax-deductible donation?

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