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UK
Tax Payers : This practical information about ways to give,
and the following information can be found on http://www.givingcampaign.org.uk/
- and there are some pointers to where you can get further
help.
In
particular, it focuses on the package of measures designed
to promote giving to charity included in the April 2000 Budget.
If
you make a charitable donation via Gift Aid the charity
can reclaim from the Inland Revenue basic rate tax you paid
on the money you are giving.
Comic
Relief provides a good example of the effectiveness of Gift
Aid. During this year's national appeal Comic Relief was able
to secure Gift Aid declarations from about 80% of those who
made donations by phone which generated around £3million
more for the charity. But Gift Aid can benefit charities of
all shapes and sizes. Increasingly, charities are asking
donors to make a Gift Aid declaration at the point when the
gift is made, or sometimes afterwards.
What
are the benefits for charities?
First and foremost the value of your individual donation will
be increased by 28% if you use Gift Aid. That means for every
£1 you donate the charity actually receives £1.28,
extra money, which they can spend on the causes you believe
in. And if you are a higher rate taxpayer you can claim the
difference between the higher rate of tax and the basic rate
in your Self Assessment return, so you can afford to give
even more.
How
does it work?
Very easily. You can make payments, pretty much of any amount,
large or small, by cash, cheque, postal order, direct debit,
standing order, debit or credit card or even in a foreign
currency (including the euro). Your donation will qualify
for Gift Aid if you:
•
pay at least as much tax (income or capital gains at any rate)
as the charities will reclaim on your gifts in the financial
year in which you make them (tax credits on dividend income
count towards the tax paid)
•
make a simple declaration Print
the form from here to the charity that you
want your gift to be treated as a Gift Aid donation.
There
are no catches and it costs you no nothing.
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