The cumulative donation amount for the Hometown Love Donation System has surpassed 100 billion KRW in its third year since its introduction. From next year, the tax deduction rate for donations will be further expanded, leading to an increase in participation. The Ministry of the Interior and Safety announced on the 16th that the cumulative donation amount for the Hometown Love Donation System exceeded 100 billion KRW as of December 15.
In the first year of the Hometown Love Donation System in 2023, 65.1 billion KRW was raised, and 87.9 billion KRW in 2024. As of December 9 this year, the amount has already surpassed last year’s performance. The Hometown Love Donation System was introduced to address the crisis of local extinction, allowing individuals to donate to local governments outside their residence in exchange for tax deductions and return gifts. The donations are used for welfare improvement and regional revitalization projects.
The increase in donations this year is attributed to the voluntary participation of citizens and efforts to activate the system. Particularly, donations were concentrated in eight areas designated as special disaster zones due to wildfires in March, significantly increasing the donation amount in March and April. The combined donation amount for March and April this year was 18.4 billion KRW, approximately 2.3 times higher than the same period last year (7.9 billion KRW).
To promote donations to special disaster areas, the government revised related laws in March this year, expanding the tax deduction rate for donations exceeding 100,000 KRW from 16.5% to 33% within three months of the disaster declaration. The proportion of donations through private platforms also increased significantly from 7.1% last year to 21.9% this year, with the addition of three new platforms: Nonghyup Bank, Wello, and Cherry, improving accessibility for donations.