In 2019, a total of 38 charitable trust projects were filed nationwide. As of now, the total size of the national charity trust is 2.143 billion yuan, which is a huge upside compared with the 22 trillion yuan trust business at the end of last year.
A few days ago, Hangzhou Industrial and Commercial Trust issued the "Hang Gong Xin·Sunshine 2 Mother Smile Action Charity Trust", the first round of raised funds of 630,000 yuan. The funds raised are mainly used in charity hospitals to provide free medical treatment and sequence treatment for children with cleft lip and palate and facial deformities in poor families.
Innovating charitable trusts and fulfilling social responsibilities have become the general consensus of trust companies. In 2019, a total of 38 charitable trust projects were filed nationwide, with a total property of over 200 million yuan. Among them, the single charitable trust scheme entrusted by Zhongyuan Trust is the largest, reaching 99 million yuan.
Generally speaking, compared with traditional forms of charity, charitable trusts can use the trust flexible system to customize charitable projects and realize the preservation and appreciation of assets. For now, in the trillion-dollar trust market, trusts have great charitable potential. Big, but "there is more than enough power," enthusiasm is difficult to fully play. The reason is that a senior in the trust industry told the "Securities Daily" reporter that "tax incentives are the biggest challenge for charitable trusts at present. Although the current charitable trusts can be tax-related by the civil affairs department, there is no specific policy. Execution of the rules, the tax benefits of charitable trusts cannot be implemented."
23 trust companies filing charitable trusts
Zhongyuan Trust won the first prize of 99 million yuan
According to Charity China data, as of the date of publication, the assets of 38 charitable trusts filed in 2019 reached 221 million yuan, including 23 trust companies including Zhongyuan Trust, China Construction Investment Trust, CITIC Trust and Chongqing Trust, especially in the Central Plains. Trust as the trustee of “Hengda Zhongyuan Trust Henan Province Poverty AlleviationfundThe charity trust is the largest, with a total amount of 99 million yuan. It is understood that the purpose of the charity trust is to donate and reward Jiayin High School and its teachers and students, Jiayin Middle School and its teachers and students, Jiayin Primary School and its teachers and students and home. India hospital and its medical staff.
Secondly, the “China Construction Investment Assistance Charity Trust” entrusted by China Construction Investment Trust, with a property scale of 60 million yuan, is mainly used to support the endogenous motivation problems and causes of poverty alleviation in poverty-stricken areas.Agricultural productsPrice fluctuations, disasters, illnesses, poverty due to learning, and returning to poverty.
According to the charity China data, as of now, the total size of the national charity trust is 2.143 billion yuan. Compared with the size of the trust industry of 22 trillion yuan at the end of last year, there is obviously a huge room for improvement, and compared with the traditional form of charity, Charitable trusts have both institutional and value-added advantages.
A senior in the trust industry explained to the Securities Daily reporter that compared with traditional charitable organizations such as foundations, charitable trusts inherit the flexibility design of the trust system itself, and can flexibly customize the corresponding charity projects. With the professional asset management capabilities of trust companies, we can realize the preservation and appreciation of charitable assets and expand the scale of charitable funds.
The CITIC Trust Charity Action Report has a more systematic overview of the advantages of charitable trusts: charitable trusts through the trustee's access qualifications, dismissal system, information disclosure system, liquidation reporting system and other internal restraint mechanisms and trust supervisors. The interaction and coordination of external regulatory systems such as institutions and information disclosure systems have formed an organic governance mechanism that guarantees the organic operation of charitable trusts. "No longer like traditional charitable organizations, relying entirely on the experience and decision-making of the leadership, it is beneficial to fundamentally eliminate the bureaucratic ideas and inefficient style brought about by administrative management, and improve the opacity of traditional charitable organizations in internal governance. Operational transparency and maintaining charitable credibility."
"Losing money to earn money"
Charity trust trapped in scale
According to relevant reports, as the industry leader, CITIC Trust has successfully filed 6 orders, occupying nearly one-third of the total size of national charitable trusts, reaching 537 million yuan, ranking among the top companies in the industry. However, the market is hotreal estateCompared with the scale of fundraising for trusts, which is worth hundreds of millions or even billions of yuan, charitable trusts still cannot be scaled up.
The reason is mainly because of the lack of internal motivation and the difficulty of sustainable development. "We do charitable trusts, that is, 'losing money to make money,' mainly to expand the brand influence of the company," said a trust company in East China. The business model of charitable trusts still needs to be improved and explored, which is also a common problem for trust companies.
In this regard, the above-mentioned trust industry veterans believe that the three major factors of tax incentives, filing, and professionalism have become the challenges facing charitable trusts. "Tax concessions are the biggest challenge for charitable trusts at present. Although there are currently related policies for charitable trusts that can enjoy tax concessions through the civil affairs department's filing, there are no specific implementation rules, and the tax concessions of charitable trusts cannot be implemented." Explain in detail, it mainly reflects the following three points: charitable trust donors can not obtain the public welfare donation bills that can deduct the taxable income of the enterprise; the investment income generated by the charity trust operation will have tax problems; the non-cash asset donation involves the transfer tax Fees, etc., reduce the feasibility of setting up charitable trust projects with equity, real estate, etc.
The civil affairs department's filing is also a challenge for the establishment of charitable trusts. The above-mentioned veterans further stated that because according to relevant policies, charitable trusts must enjoy tax incentives to the civil affairs department for filing, but there are certain difficulties in the filing process. There are some differences between the civil affairs department and the trust company in the understanding of policies and business models, which leads to the civil affairs department not agreeing with the structure of the trust company design and cannot file the case; on the other hand, it is due to the internal auditing of the recorded items in the civil affairs department. More time, resulting in a longer filing period.
In addition, “the trust company itself is a professional asset management institution with fewer people. Compared with charitable organizations such as specialized foundations, it is difficult to achieve high participation in the front end of charitable projects, and it is often necessary to cooperate with other charitable organizations. He further added to the reporter.
(Article source: Securities Daily)