Gift aid is a great way to help charities and donations are topped up by the Government with the charity reclaiming the tax.
Any donations made by higher rate tax payers are also subject to additional relief via Self Assessment so its important to keep all of those ‘just giving’ receipts and notes of your direct debits.
Conversely given the changes to interest and dividend taxation above there will be people who no longer pay tax. It’s therefore important to make sure you don’t tick the gift aid box and you review any direct debits as HMRC are quite entitled to come to you and ask for the tax back that the Charity has claimed.
This is particularly relevant to retired people who rely on investment income or those taking career breaks – with interest and dividends paid only periodically sometimes it’s too late when you realise that you’ve not paid any tax!
If you'd like to discuss any donations you've made and are interested to find our how this impacts you, then please call for a chat, or contact us via the website here.
Any donations made by higher rate tax payers are also subject to additional relief via Self Assessment so its important to keep all of those ‘just giving’ receipts and notes of your direct debits.
Conversely given the changes to interest and dividend taxation above there will be people who no longer pay tax. It’s therefore important to make sure you don’t tick the gift aid box and you review any direct debits as HMRC are quite entitled to come to you and ask for the tax back that the Charity has claimed.
This is particularly relevant to retired people who rely on investment income or those taking career breaks – with interest and dividends paid only periodically sometimes it’s too late when you realise that you’ve not paid any tax!
If you'd like to discuss any donations you've made and are interested to find our how this impacts you, then please call for a chat, or contact us via the website here.
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