What are the tax benefits of donating IT hardware to a charity?

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“Why wouldn’t you donate your IT equipment?” asks Sandra Mulder, ITdonations Ambassador.

Any donation to a charity with ANBI status, such as ITdonations, is tax-deductible in the Netherlands, provided the total donation meets the legal requirements.

A BV can claim donations made to an ANBI as a deduction on its corporate income tax return. The total deductible amount per year is limited to 50% of the company’s profits, up to a maximum of €100,000.

Beyond the financial or tax benefit, you’re also supporting a worthy cause of your choice. And that can go to one good cause, or many! This dual benefit makes IT donations a smart, responsible business decision.

Table of Contents:

What can be donated?
The benefits of donating IT hardware to charity.
What is the social impact of IT donations?
What’s the biggest misconception about IT donations?
Get advice

What can be donated?

When companies donate old or written-off IT equipment, they donate the residual value of this equipment, not the hardware itself.

The residual value reflects the equipment’s market value considering its age, condition, and functionality. This includes laptops, desktops, tablets, servers, monitors, printers, networking equipment, accessories like keyboards and mice, cables, and any other IT hardware your company no longer needs.

All equipment is carefully collected and processed. For example, we Circular IT group wipe data using Blancco. After processing, the client receives a detailed report listing all the equipment handed in and the associated residual value.

We offer complete unburdening, for instance, during a move, by not only handling the devices and their processing, but also collecting leftover accessories, cables, and other IT equipment.

Any IT equipment that cannot be processed through donations is then disposed of through certified WEEE-compliant ITAD processes.

The benefits of donating IT hardware to charity.

Companies often discover that donating IT equipment helps more than their bottom line. Sandra highlights how donations, for large enterprises and multi-national companies, contribute to CSR in multiple ways:

Reduces e-waste and extends hardware lifespan
Supports education and social causes
Boosts local community engagement
Involves employees in meaningful decisions
Ensures transparent reporting and traceability
Enables secure, responsible IT disposal
Aligns with ESG and compliance goals

Some companies let their employees choose the charity via a poll, which makes them feel part of the process and increases engagement.

Sandra Mulder, Sandra Mulder, ITdonations Ambassador

What is the social impact of IT donations?

“Two powerful donation stories come to mind:

One from Aegon, they donated to the Guindy School in India, which offers free education to the poorest groups in the region. They teach children up to age 17 to prepare them for higher education. Earlier donations from Aegon helped realise a water purification system and a science lab.

Another is from ING, who donated to the Food Bank. During the Christmas season, they supported the important work done daily by the Food Bank’s volunteers for people struggling to make ends meet.

This is a highly relevant topic, as many people today can no longer make ends meet, not just elderly individuals but also youth under 18.”

What’s the biggest misconception about IT donations?

Sandra sums it up simply:

“The biggest misconception is that companies donate the hardware itself. Actually, they donate the residual value of that hardware.”

She explains how this residual value is calculated:

“It depends on the volume and the hardware’s age and specs. This residual value can be donated to one or multiple charities, or even converted into new or refurbished hardware if the company prefers.”

Get advice

If your company is curious about how to unlock the value in your written-off IT and contribute to meaningful causes, Sandra and the Circular IT group team are ready to help.