Printer Friendly

How a single click costs charities [pounds sterling]600million a year (or could make you 25% more generous); You shouldn't pay tax on any money you give to charity - and there's a remarkably simple way to make sure you don't.

Byline: Vicky Shaw

Charities are missing out on a potential [pounds sterling]600 million per year because gift aid was not added.

The Government released the findings as it urged people who give to charity to declare gift aid on their donations, and boost the money that reaches their charity at no extra cost.

Gift aid allows charities and community amateur sports clubs to claim an extra 25p for every [pounds sterling]1 donated.

To add gift aid to a donation, you must have paid income or capital gains tax that year worth at least the value of the gift aid being added and give the charity permission to claim it. Gift aid costs no extra to add on to your donation.

But research from HM Revenue and Customs (HMRC) shows that a third of eligible donations made to many of the UK's 200,000 charities did not add gift aid when they could have done.

This means that charities are losing out on extra funding worth nearly [pounds sterling]600 million a year.

Everything you need to know about tax returns

Some 50,000 charities have been written to, in a bid to promote the gift aid small donations scheme introduced in 2013, to explain how easy it is to claim a 25% top-up on cash donations.

The scheme does not require a declaration to be made for donations worth up to [pounds sterling]20, making it simpler for charities to get extra support through gift aid.

Exchequer Secretary to the Treasury Robert Jenrick said: "The UK has thousands of brilliant charities, all working hard to make people's lives better.

"Through gift aid, we are already giving charities an extra [pounds sterling]1.3 billion of funding so they can continue their important work.

"We know how crucial this funding is. This is why we've just written to 50,000 charities to tell them about the gift aid small donations scheme, which makes it even easier for charities to claim a 25% top-up on their donations."

More information about gift aidcan be found here.


Credit: Getty

You could give 25% more without it costing you

No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2018 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Title Annotation:Money
Publication:Daily Mirror (London, England)
Date:Mar 19, 2018
Previous Article:Brit buys old black-and-white photo of boy for [pounds sterling]7 on eBay and it could be worth MILLIONS; Justin Whiting was stunned when an expert...
Next Article:Male brown widow spiders actually prefer females that EAT them, study finds; During tests, males would choose to mate with older females with a...

Terms of use | Privacy policy | Copyright © 2020 Farlex, Inc. | Feedback | For webmasters