Tax Efficient Support for CharitiesPosted 2020 by Chris Davies
With all our thoughts currently on the fantastic work that the NHS do, the amazing achievements of Captain (now Colonel) Tom Moore and the 75th VE Anniversary celebrations, many of us have been digging deep into our pockets and making donations to support the outstanding work that these charities do.
But are you aware of the generous tax benefits of doing so?
Charitable donations made under the gift aid scheme offer benefits for both the donor and the charity. A cash gift of £80 will result in a £20 uplift for the charity so the total donation would be £100. The donor receives tax relief of £20 and for higher rate taxpayers, the cost of making a £100 donation is only £60. The effective cost for additional rate taxpayers for those earning between £100,000 and £125,000 is even less!
If you didn’t have enough reasons before, there is another one right there!
Keep giving and stay safe