Boosting Your Gift With Gift Aid

What is Gift Aid?

Gift Aid is a policy that effectively increases the value of your Love2Donate gift to charities and CASCs (Community Amateur Sports Clubs), providing that you are a registered UK tax payer and will have paid sufficient tax by the end of the current tax year to cover the claim.

But how does it work?

As a UK tax payer, money that you have to spend has already had tax paid on it (tax is normally deducted from source in your pay packet and goes straight to the Government). Donations to charity are considered to be tax free payments. Therefore, any donation that you make (with money upon which you have already paid tax), is eligible to have that tax value reclaimed from the Government.

Therefore with the tax reclaimed and the additional Government bonus, a donation of £22.00 is boosted to £28.16.

So - just talk me through it - how does £22.00 become £27.50 ?

Bear in mind that any money you have to spend will already have been taxed at 20%, so our £22.00 is really only 80% of the total donation amount.

What if I don't work - can I still be classed as a UK tax payer ?

Yes!
If you are not working and paying tax through Pay As You Earn, it does not mean that you are not paying tax. You may be paying tax on...