The Small Charitable Donations Scheme legislation has now been enacted and will come into force on 6th April 2013. CASCs and Charities will be able to receive a top up payment of 25p in the £1 from the Government on small cash donations up to £20. CASCs and Charities can claim up to a maximum of £1,250 on total small donations of £5,000 per year (with certain conditions). The CASC or Charity does not need to obtain Gift Aid declaration forms. Some welcome late changes were made to the draft legislation to improve the scheme. CASCs or Charities need to only have a 2 year record of claiming Gift Aid on donations and only need to receive 10% matching Gift Aid donations. HMRC
From this Spring CASCs and Charities will be encouraged to use a new online service for making tax repayment claims. HMRC are introducing the service for claiming Gift Aid, Gift Aid Small Donation Scheme top up payments and other tax repayment claims. This will replace existing online and paper based forms. There will be a new paper form for those CASCs / Charities with no Internet access. More information is to be released on the new service in due course. HMRC
Wealthy individuals making donations to CASCs or Charities after 6th April 2013 should consider making their donation before this date. The additional rate of income tax for 2013/14 will reduce from 50 to 45% and the donor will save an extra £6.25 in tax (£37.50 in total) for every £100 if the money is donated before 6th April 2013.
For further details please contact Alex Thompson, Club Management & Governance Officer Tel: 07894 489756, email: firstname.lastname@example.org or Dave Stubley, Club Management & Governance Manager Tel: 07736 722387, email: email@example.com