I am in Paris to give a lecture at ESSEC as part of the French Professional Association of Fundraisers Certificate in Fundraising course. France has such huge potential for fundraising, not least because the tax regime is now so favourable. Donors get 66% tax relief on donations, with a ceiling of 20% of earnings. So a person earning say €250,000 can give a gift of €50,000 (20% of her earnings) at a cost of only €17,000.
But this is not making donors more generous. A study by the Centre d’Étude et de Recherche sur la Philanthropie [La générosité des Français, November 2005] shows that three successive tax reductions in 1996, 2003 and 2005 have increased donations by only 2% per annum, well below the rate of inflation.
So that’s another stick in the wheel for people who claim that people only give because they get the tax back.
Factary is active in France with programmes in major donor research and fundraising consultancy. For more details contact Chris Carnie (chris@factary.com)
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