Gift Aid
What is Gift Aid?
Gift Aid is a tax relief from the Government which helps charities to earn more on their donations. To give under the Gift Aid scheme donors must be UK taxpayers and have paid sufficient tax (as income tax and/or capital gains tax) to cover the amount that will be claimed by the charity in each tax year.
How much do we get with Gift Aid?
UK taxpayers can choose to increase their donation by 25% at no additional cost to them or to your charity. So for every £10 donated, you can receive an additional £2.50 in tax from HM Revenue & Customs. All the donor needs to do is tick the relevant Gift Aid permissions when they donate.
How does Charity Choice Help with Gift Aid?
We really want to help charities benefit from this extra income and know that claiming Gift Aid can be a drain on your admin resources, so we're offering to collect Gift Aid at no cost for all of our charities. Every month we will claim the tax back from HM Revenue & Customs on behalf of your charity and send the full amount to your bank account. Registering for this service is free! Simply:
- Fill in pages 1, 4, 6 and 7 of the CHV1 form download the form
- Include the NI number as this is required by HMRC
- Include your HMRC reference number (this begins with an X or C)
- Sign and send the printed pages to Charity Choice
What if I don't want Charity Choice to claim Gift Aid on our charity's behalf?
That's fine - it's not a pre-requisite for registration. However, we will not be able to disclose the donor information and permissions to you, so you will be missing out on the additional funds available to you.
How do I nominate Charity Choice to claim the Gift Aid on our behalf?
Simply fill in a ChV1 form which can be obtained by emailing enquiries@charitychoice.co.uk or call 020 7549 8651
How do I register my charity with HMRC to receive Gift Aid?
In order for your charity to benefit from the Gift Aid scheme your charity must be registered with HMRC.To register with HMRC you will need to fill in the HMRC Charities Application Form (ChA1) for charities or the CASC Registration Form (CASC(A1).
HMRC will check your application to see if you are entitled to claim Gift Aid and, if no extra information is needed, they will write to you with your unique reference number so you can start claiming Gift Aid.
Please note that there is a different application procedure for CASCs.
To find out more about applying to HMRC to become Gift Aid registered visit: http://www.hmrc.gov.uk/charities/gift-aid-toolkit.htm
