Good day to all the wonderful and helpful people out there.
The company I'm working for regularly donates eggs to non-profit organizations and registered Section 21 companies (schools for disabled, old age homes, soup kitchens etc). We have letters from them on a letterhead with their registration number displayed and they sign receipt for everything received. We have monthly stock-taking and use the total donations to see if it balances - which it does. Internal control measures are in place and very strict. However no donations total is captured on pastel. We produce the eggs ourselves.
Can we use those donations to lessen our tax liability at year end?
Is there a limit to the amount as I'm talking about hundreds of dozens of eggs per month?
What are the regulations and what must we do so that our accountant won't find fault with it?