Charitable activity is the voluntary personal and/or property assistance aimed at achieving the goals defined by the Law of Ukraine of July 5, 2012, No. 5073-VI (hereinafter referred to as Law No. 5073), which does not entail any profit for the donor and does not involve the payment of any reward or compensation on behalf of or at the direction of the beneficiary (Article 1.2, Section 1 of Law No. 5073).

A donor is a legally capable individual or a private legal entity (including a charitable organization) that voluntarily engages in one or more types of charitable activities (Article 1.1, Section 1 of Law No. 5073).

A beneficiary is the recipient of charitable assistance (an individual, nonprofit organization, or territorial community) that receives help from one or more donors to achieve the goals defined by Law No. 5073 (Article 1.5, Section 1 of this Law).

Charitable contributions may be provided to recipients in monetary form for their financing needs according to the expenditure directions defined by the donor, as well as in the form of goods, works, and services. If the donor has not specified particular goals for the use of the funds, the ways to direct the charitable contribution are determined by the head of the institution or establishment – the recipient in accordance with the primary needs related exclusively to the main activity of the institution or establishment (Paragraph 2 of the Procedure approved by the Resolution of the Cabinet of Ministers of Ukraine on August 4, 2000, No. 1222, hereinafter referred to as Procedure No. 1222).

Charitable (voluntary) contributions and donations from legal and individual persons – residents and non-residents (hereinafter referred to as donors) according to the current legislation have the right to be directly received by budgetary institutions and educational, healthcare, social protection, cultural, scientific, sports, and physical education establishments (Paragraph 1 of Procedure No. 1222).

A portion of the funds received as charitable (voluntary) contributions and donations from donors may be directed towards the payment of salaries of employees of the aforementioned institutions and establishments in accordance with their budgets, complying with the requirements of Law No. 5073, if the expenditure direction is defined by the donor.

Charitable contributions cannot replace the fees for paid services provided by institutions and establishments according to the lists defined in the established order (Paragraph 3 of Procedure No. 1222).