The Gift Aid scheme is for gifts of money by individuals who pay UK tax. Gift Aid donations are regarded as having basic rate tax deducted by the donor. Charities are able to take your donation - which is money you've already paid tax on - and reclaim the basic rate tax from HMRC on its 'gross' equivalent - the amount before basic rate tax is deducted.
Basic rate tax is 20 per cent, so this means that if you give £10 using Gift Aid, it's worth £12.50 to the charity. For donations between 6 April 2008 and 5 April 2011 the charity will also get a separate government supplement of three pence on every pound you give.
In order to make a Gift Aid donation you'll need to make a Gift Aid declaration*. The charity will normally ask you to complete a simple form - one form can cover every gift made to the same charity for whatever period you choose, and can cover gifts you have already made and/or gifts you may make in the future.
A Gift Aid declaration must include:
You can use Gift Aid for gifts you make jointly if you tell the charity how much each of you is giving and if you each make a Gift Aid declaration.
*GIFT-AID FORMS ARE AVAILABLE AT ALL SUNDAY SERVICES.
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