If you Gift Aid your donation, the Peterborough Association for the Blind will receive an additional 25p for every pound you give.
How does Gift Aid work?
Gift Aid is one of the easiest ways to make your donation tax effective. The charity you are supporting reclaims the basic rate tax from HM Revenue and Customs. There is no extra cost to you and the process is simple – all you have to do is make a Gift Aid declaration.
How can I sign up for Gift Aid?
All you need to do is complete our Gift Aid form – available to download at the bottom of this page). Include the completed form with your cheque or cash donation. If you have paid by bank transfer or Direct Debit, send the form to us separately with the details of your donation. If you are paying online via the websites Donate now buttons, you can complete a gift aid declaration as part of the donation process.
If you are making a monthly contribution by Direct Debit, we will claim the gift aid on your behalf, but you should let us know if any of the details on your original gift aid form change such as your address or tax status.
What does the Gift Aid declaration commit me to?
For every £1 you donate to the Peterborough Association for the Blind in a financial year (from 6 April to 5 April of the following year), you must have paid 25p in Income or Capital Gains Tax in the same financial year to qualify for Gift Aid.
What is a Gift Aid declaration?
It is simply a statement by an individual taxpayer that they want a charity to claim from HM Revenue and Customs the tax paid on their donation. This is a great way to add 25 percent to the value of your gift to the Peterborough Association for the Blind without it costing you a penny more!
Gift Aid – do I qualify?
You must pay an amount in Income Tax and/or Capital Gains Tax to cover the amount the Peterborough Association for the Blind and any other charities or Community Amateur Sports Clubs (CASCs) will reclaim in the tax year (from 6 April to 5 April of the following year). Inheritance Tax, Council Tax and VAT do not qualify towards Gift Aid.
How do I know if I pay UK Income or Capital Gains Tax?
You pay these taxes if:
- Income Tax is taken from your wages or salary before you receive your pay
- you pay tax after filling in a self-assessment form each year
- you have any taxable savings (in a building society, for instance), or a pension plan, or investment income
- you have paid any Capital Gains Tax, on the sale of a property or some shares, for example
- Inheritance Tax, Council Tax and VAT do not count as Income or Capital Gains Tax.
If any of these applies to you, please consider completing and your declaration so the Peterborough Association for the Blind can reclaim the tax on your donations.
Why does it work out at 25 pence for every pound given?
Although basic rate tax is currently 20 per cent, the donation for £1 is treated as the net after tax from £1.25 (£1.25 minus 20 per cent is approximately £1). The Peterborough Association for the Blind receives the 25 pence.
What if I don’t pay UK Income Tax and/or Capital Gains Tax?
Then, unfortunately, you are not able to make a Gift Aid declaration.
What if I’m a pensioner?
You may still pay tax on a private pension plan or a savings account, or pay Capital Gains Tax if you sell property or shares. If this is the case, please consider making a Gift Aid declaration.
What if I’m a higher rate taxpayer?
The Peterborough Association for the Blind can only directly claim back at the basic rate but please complete and return the declaration anyway. As a higher rate taxpayer, if you declare your donations on your tax return, you can claim a rebate based on the difference between the higher rate and the basic rate when you fill in your self-assessment form.
What if I’m a lower rate taxpayer?
If you pay a lower rate (10 per cent or 20 per cent), the Peterborough Association for the Blind can still claim back 25p for each £1 you donate, provided you pay enough tax to cover the claim in the tax year you make the gifts.
What if I make my donations via CAF (Charities Aid Foundation)?
If you normally make donations via CAF, tax has already been reclaimed.
What if I buy raffle tickets?
Purchases such as raffle tickets are not treated by HM Revenue and Customs as donations and so the Gift Aid declaration does not apply to them.
Can Gift Aid be applied to events sponsorship?
Yes, in most cases. If you are being sponsored or sponsoring someone else, for example someone taking part in an abseil or running the London Marathon in aid of Peterborough Association for the Blind, please Gift Aid eligible contributions. Remember each sponsor needs to include their home address and postcode to enable the Peterborough Association for the Blind to reclaim the tax.
Who will have access to this information about me?
Only the Peterborough Association for the Blind and HM Revenue and Customs. We will not share it with anyone else.