Gift Aid
What is Gift Aid?
Gift Aid is tax relief given on money donated to charities in the United Kingdom. Donations to charity are treated by the Inland Revenue as if the donor has already had tax at the basic rate deducted from them. Providing the donor has paid an equivalent amount of tax to that that can be reclaimed and gives their permission the charity can then reclaim that amount. This can add a further 25% to the value of the donation.
Gift Aid Rules
In order for the charity to claim Gift Aid on donations the donor must
- pay enough UK income tax and/or capital gains tax themselves to cover the amount of tax the charity will reclaim.
-
give the charity a gift aid declaration, which should include
- their name
- their home address
- the charity’s name
- details of the donation – saying that it is a gift aid donation
- confirmation that they have paid UK tax – to cover the tax the charity will reclaim.
If you wish your donations to be considered for Gift Aid and have not yet filled in a Gift Aid Declaration you can download one by clicking here. Simply complete and return to the treasurer and we will be able increase the value of your donations.
If you pay tax at the higher rate you can claim additional relief on your donations by filling in the appropriate section on your self assessment tax form.