China's new wealthy elite are frequently criticized for their
apparent lack of sympathy for charitable causes. The sounds of
disapproval have grown even louder recently, when retirees are
donating pension checks and kids cleaning out their piggy banks to
help people in the tsunami-stricken countries.
China Youth Daily recently looked into the reasons given
by the wealthy for not being more generous with their gold.
Many fear a domino effect, claiming that if they donate a huge
sum of money to charity, their debtors will come and ask for a
moratorium on their own repayments. Moreover, they say, conspicuous
expenditures may attract the attentions of kidnappers or
blackmailers, putting their own lives or those of their families at
risk. It is not clear whether they have considered such options as
anonymous donation.
Some say that frequent media reports of charity scandals have
seriously dented their enthusiasm for donation. Systems are
currently undergoing reform to increase transparency, but it is
true that in some ways the nation's charitable organizations are
still in a fledgling stage.
Tax codes do little to encourage the wealthy?-- or anyone
else?-- to go to the donation box. In the US, tax regulations
enable individuals and companies to make substantial deductions
from their tax bills for charitable donations. In China, however,
maximum deduction is limited to a tiny percentage of income, and
donations may only be made to a handful of government-approved
organizations.
Finally, there are those among the wealthy elite who say that
the Chinese public regards giving to charity as a form of showing
off. They say that those who give and make it known are merely
doing so as a marketing strategy or form of corporate image
promotion.
It is not known whether such motives would lead potential
beneficiaries to reject an offer of aid.
(China.org.cn, translated from China Youth Daily by Jiang
Wandi, January 14, 2005)