What is Gift Aid?
Gift Aid enables basic rate tax to be reclaimed by registered charities on donations they have received. Donors must pay sufficient UK tax to cover the tax reclaimed on their donations. A declaration must also be in place to trace all donations claimed upon.
Higher rate tax payers can claim higher rate relief on the payments by entering the donations in the gift aid box on their self assessment tax return. For further details, please see below.
How can we help?
Approximately two thirds of the parishes in this Diocese make use of our services for their Gift Aid claims. The advantages of this are as follows :-
• Friendly and expert telephone advice
• Preparation of claims (without using the new HMRC online system)
• Declaration care
• High standard of service
• Regular claims
• Gift Aid Secretary support
There is a small charge for this service.
All Parishes claiming Gift Aid tax refunds through our Diocesan Gift Aid Administrator will be aware that Internal Audits were introduced in 2009, avoiding the need for future full Inland Revenue audits. The results of these audits are very encouraging and have been welcomed by the parishes concerned.
We are also able to provide parishes with supplies of both Single Donation and Regular Gift Aid envelopes at an economical cost.
If you have any queries regarding Gift Aid, please contact our Gift Aid Administrator, Jill Stanforth, at email@example.com or telephone on 01636 817201
For notes on the three presentations given at the Training Days for Parishes about Fees, Gift Aid Small Donations Scheme, and Employment issues, click here
Higher Rate Tax payers
Giving from Higher Rate Tax payers attracts tax rebates at the full 40% – but not in the way most people expect.
The difference between the 20% standard rate and 40% higher rate (i.e. 20%) comes back to the Giver as a personal reduction in their tax bill. The Church can only benefit from this extra tax gift if the Giver takes action to pass it on.
How can this be done? Higher Rate Tax payers are asked to increase their giving by one third over and above the sum they expected to give to their Church. This extra money will come back to the Giver from the Inland Revenue.
So, as a Higher Rate Tax payer you can increase your giving by 33% – at no personal cost above the sum you originally expected to give – amazing, but true!
For further information, contact Tony Brown email: firstname.lastname@example.org