Deducting Donations from Your Taxes: Here's How Much You Actually Save in Switzerland

You want to donate an amount of X. How much will that really cost you in the end?

Not the amount donated. That’s because anyone in Switzerland who donates to a tax-exempt nonprofit organization can deduct the amount from their taxable income—at the federal, cantonal, and municipal levels. This applies to everyone who is subject to taxation here, regardless of their passport.

The key point here is that you’re essentially donating from your gross income rather than your net income. Part of your donation is money that would otherwise have gone toward taxes.

Until now, hardly anyone could tell you exactly how much this portion is without going over your tax return twice—because it depends on your municipality. That’s exactly why we built a calculator.

How much does your donation actually cost you?

The mechanism is simple: Your donation reduces your taxable income. The tax savings therefore correspond roughly to your donation multiplied by your marginal tax rate—the rate at which your top franc of income is taxed.

This gives us the calculation you’re actually interested in:

Donation amount − tax savings = the effective cost of your donation

Our Donation Tax Calculator for Switzerland answers that in just a few seconds. You enter your taxable income, your municipality, your marital status, your religious affiliation, and your planned donation—and see how much you’ll save, broken down by direct federal tax, cantonal tax, municipal tax, and church tax. As far as we can tell, it’s the first calculator in Switzerland that does this specifically for donations.

A concrete example

Let’s take the question from the beginning: a CHF 15,000 donation with a taxable income of CHF 150,000, single, non-religious. One case in Cham, Canton of Zug, and one in the city of Bern.

The entire CHF 15,000 has tax implications here—it amounts to 10 percent of your income and is therefore below the deduction threshold, which I’ll explain in more detail shortly.

Two things stand out. First, the difference between Cham and Bern, for example, is as large as one might expect. A blanket percentage figure therefore doesn’t help us.

Second, and this is the more interesting approach: If you also donate the tax savings, the organizations will receive significantly more than CHF 15,000—and your account will still not be any further depleted at the end of the year than it would have been if you’d donated CHF 15,000 from your take-home pay. How much you want to contribute in total is a matter for you to decide; we’ve addressed this in «How much should I donate?».

Important: 20 percent is a deduction threshold, not a donation limit

You may donate as much as you like. However, you can claim a tax deduction from the federal government for no more than 20 percent of your net income (and at least CHF 100 per year, Art. 33a DBG).

This distinction is often misunderstood—and for larger donations, it is the most important piece of information in the entire article. Here’s an example: Someone with CHF 150,000 in taxable income who donates CHF 40,000 can deduct CHF 30,000 from that amount. The remaining CHF 10,000 is donated but has no tax implications.

Any amount exceeding the limit is lost for tax purposes: Unlike in Germany or the U.S., for example, Swiss law does not allow for a carryover to subsequent years. Anyone planning a large donation therefore has three options:

• Spread over two tax years, so that both tranches remain below the threshold.
• Use the Effektiv Spenden Depot: You’ll receive the donation receipt right away and have up to two years to decide how to use the funds.
• Check the special cantonal rules – In some cantons, a higher limit applies or there is no limit at all; see below.

Our calculator shows you, for each amount, what portion of your donation will still be counted.

The Basic Rules

For the deduction to apply at all, three conditions must be met.

First: tax-exempt and headquartered in Switzerland. The organization must be tax-exempt for charitable or public purposes and have its headquarters in Switzerland. A seal of approval is neither necessary nor sufficient for this—the only decisive factor is tax-exempt status, as we explain in our criticism of the Zewo seal of approval.

This leads to a problem that surprises many: Direct donations to foreign organizations are not tax-deductible—even if they are demonstrably highly effective, such as the Against Malaria Foundation or GiveDirectly. Anyone who wants to support such organizations and still deduct their donation needs a Swiss entity to act as an intermediary. That is the role of Effektiv Spenden Switzerland: You make a donation to our tax-exempt Swiss nonprofit organization, receive a Swiss donation receipt, and we forward the funds.

Second: a receipt. Keep the donation receipt; depending on your canton, you may need to submit it with your tax return or provide it upon request.

Third: a voluntary contribution. Membership dues, time spent working (volunteer work), and donations to organizations with purely religious purposes are not tax-deductible. Donations in kind are tax-deductible at market value—we explain why cash is usually the better donation anyway in «Cash Donations Instead of In-Kind Donations».

Special Cases

Not every canton adheres to the 20 percent rule. The Tax Harmonization Act merely requires that the cantons grant a deduction—the amount is determined by each canton individually (Art. 9, para. 2, item i, StHG). Most cantons follow the federal rule, but not all: Basel-Landschaft has no upper limit at all, Neuchâtel allows only 5 percent, Jura 10 percent, and Thurgau has its own rule for low incomes. The calculator takes these differences into account.

There are very few known exceptions for large donations. In Basel-Stadt, the cantonal government may declare donations exceeding the 20 percent limit to be tax-deductible on a case-by-case basis; in Ticino, the cantonal government may approve up to 50 percent if there is significant public interest—in each case, only for cantonal tax purposes. Anyone planning a six- or seven-figure donation or wishing to give over the long term through their own or an existing foundation should clarify this in advance; we can assist with this within the scope of our donor advisory.

Direct donations abroad can even trigger taxes. A donation to an organization that is not exempt from Swiss taxes is legally considered a gift. Depending on your canton of residence, gift tax may apply—up to 50 percent in Geneva, significantly less in most cantons, and none at all in Lucerne, Schwyz, and Obwalden. It remains to be seen how strictly the cantons enforce this rule for ordinary donations.

Withholding tax. Anyone who is taxed at source because they do not yet have a C residence permit may need to take action: For gross income of CHF 120,000 or more, a regular retroactive assessment will be issued automatically; for amounts below that, you must apply for it by March 31 of the following year—otherwise, the deduction for that year will be forfeited.

U.S. tax liability. Those who remain subject to taxation in their country of origin—primarily U.S. citizens—generally cannot claim a Swiss donation as a deduction in their home country; U.S. tax law generally recognizes only donations to U.S. organizations. This does not affect the tax savings in Switzerland.

One limitation regarding the calculator itself: It simplifies things. It bases the deduction on taxable income rather than net income and is not a substitute for tax advice. It’s enough to give you a general idea; your tax return is what ultimately determines the exact amount.

And while we’re on the subject of optimization: Where does your franc have the greatest impact?

So far, we’ve been talking about how much your donation costs. The second question is just as important: What do you get in return?

The tax deduction reduces the cost of your donation—by an amount roughly equal to your marginal tax rate. It does not change the impact of your donation. However, according to analyses by independent evaluators such as GiveWell, there are sometimes differences in effectiveness by a factor of many between charities, even within the same subject area.

So, those who focus solely on tax optimization are only making minor adjustments. The most important decision remains where you donate – our donation recommendations and Giving Funds handle the research for you. And if you donate the tax savings right away, both strategies will work together.

FAQs

About the author

Philipp Augenstein

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I am the Swiss Country Manager for Effektiv Spenden. If you have any questions or suggestions regarding this article, please feel free to contact me. You can write me an e-mail or call me at +41 78 480 42 92. You can also book a free donation consultation with me.

Sources

• Art. 33a DBG, as of January 1, 2026 (Fedlex)
• Art. 9, para. 2, subpar. i of the StHG (Fedlex)
• Basel-Landschaft Tax Administration, Information Sheet on the List of Donations (No Upper Limit)
• § 32(1)(b) of the Tax Act of Basel-Stadt (Exemption Permit)
• Art. 32c, para. 2, of the Tax Act of Ticino (up to 50 %)
• Tax Practice Thurgau, StP 34, No. 23
• FTA, Inheritance and Gift Taxes (as of January 1, 2025)
• Canton of Geneva, Gift Tax Categories
• Art. 89, 89a DBG and Art. 9, 14 QStV (Withholding Tax, Subsequent Ordinary Assessment)
• IRS, Publication 526, «Charitable Contributions» (Deductibility applies only to U.S. organizations)
• Zewo, Deducting Donations from Taxes
• ESTV Tax Calculator