|
Aimed at BobbyG really. Mrs RP took some stuff to a charity shop and was asked if she had a Gift Aid number. One assumes that there is a process whereby a tax advantage can be gained for the receiving charity...how does this work ?
|
|
You give personal details and state that you are a taxpayer, charity claims tax refund on the sum donated.
|
|
Sorry not clear, it was stuff rather than cash on this occasion...!
|
Still applies to 'stuff'. Tracked by charity and they make a claim on what price it was solld for.
Never heard of 'needing' a number, althouigh some charities I think give you their internal tracking number. BHF gave me a card with a personalised card that allows me to track the price of item is sold for, on line.
|
"Still applies to 'stuff'."
What about 'bits and bobs'?
|
>>What about 'bits and bobs'?
Oh they come under the same ruling as "odds and sods", and "paraphernalia" the meaning of the latter having in time widened from bridal trinketry by custom and practice.
Doofers, doovreys and wassnames are of course exempt.
|
|
When they sell the item it then has a cash value so I guess they can claim the gift aid on that amount
|
|
Do Oxfam take slightly bashed up scooters?
|
>> When they sell the item it then has a cash value so I guess they
>> can claim the gift aid on that amount
>>
Correct.
|
|
Thank you all, thanks for reminding Mrs RP of the scooter, I'd rather hoped she'd forgotten !
|
You could imagine a person in a third world country being really chuffed with it mind. It wouldn't be nearly as uncool there.
;-)
|
>> You could imagine a person in a third world country being really chuffed with it
>> mind. It wouldn't be nearly as uncool there.
Oh it would, believe me it would.
|
RP, the principle of Gift Aid is just the same - hand over cash and sign a form and charity get 25% back from HMRC.
Hand in items to a charity shop, they will sell them on your behalf and then claim the 25% back based on the selling price.
They track it by giving every donor a unique id number and that number goes on every item that you have donated, from clothing to books to a candlestick.
When it is sold, your number is scanned and this basically keeps a cumulative amount on your account of all your goods. At a time convenient to the charity then they will put in a claim stating that RPs goods have sold for £x and we claim back the 25%.
New rules were passed this year which make the process much simpler - before that we used to have to write out to Mr RP, tell him that all the goods he had donated had raised £x and was he happy for us to keep the money and claim GA on it. But at this point Mr RP was allowed to ask for his money back instead!
|
|
That explains something, I've taken stacks of stuff to charity shops over the last few years and it never occurred to me I could have done it tax efficiently for them.I'm pregnant
|
|
And of course if you are a higher rate tax payer, you can then reclaim some tax when you provide evidence of the total of your donation (ie by the letter of the regulations when you sign up, there should be an option to receive a written statement every year of the total of your donations)
|
>> I'm pregnant
>>
Is that a medical first?
|
|
Ha Ha well spotted It was a FB joke I'd pasted into my page before posting here and for some reason it got posted in here. I did spot it, but decided to leave it in to see who would actually comment !
|
>> Hand in items to a charity shop, they will sell them on your behalf and
>> then claim the 25% back based on the selling price.
My local Shaw Trust charity shop recently had a sign up saying that they can claim back 28%.
Whereas other CS's say it's 25%.
How come the ST can claim back 3% more then?
|
They can't!!
They just have out of date posters (and illegal at that)
A few years ago it was 25% + a 3% discretionary top up but that part was done away with.
|
>> They just have out of date posters (and illegal at that)
I wouldn't say that they were posters. They were A4 sized in photo frames dotted around the shop.
|
|
The 28% posters probably date back to when the basic rate of tax changed from 22% to 20% - the additional 3% was supposed to compensate for the drop in tax relief.
|
Gift Aid. - Old Navy
