Gift Aid

Gift Aid is a UK government scheme that allows charities to claim back tax on donations made by individuals who are taxpayers. When you donate to a charity, if you are a UK taxpayer, the charity can increase your donation by 25 percent at no extra cost to you. This means that a £10 donation can be worth £12.50 to the charity. To qualify, donors must provide a declaration confirming they pay enough tax to cover the amount the charity will reclaim. Gift Aid not only boosts charitable contributions but also encourages more people to support causes they care about.

If you are a UK charity, you’ll be submitting yearly Gift Aid claims, and the HMRC website has just uploaded a series of spreadsheet templates for you to use, which you can find here.

As a leading accounting practice in West London, we have been supporting a number of local and national charities and non-profits and have an extensive experience of charity accounting and gift aid. Get in touch with any quesitons – big or small.