Pageant News 12 January 2011 - Updated 6
The Gift Aid scheme applies to gifts of money
by individuals who pay UK tax to UK charities. Donations are
regarded as having basic rate tax deducted by the donor, so that
charities can reclaim the basic rate tax from the 'gross' equivalent
of the donation. (more
details) Donations to Pageant
include sponsorship, membership subscriptions and ethical gifts, so
Gift Aid reclaims are an important part of our income.
Up until 5 April 2008, the basic rate of tax
was 22%, which meant that charities could reclaim about 28p for each
£1 donated by a UK taxpayer. On 6 April 2008, the basic rate of income tax was
from 22% to 20%. This meant that the amount of tax relief a charity
could reclaim was reduced to 25p for every £1 donated. However, HM Revenue &
compensated for this by paying
transitional relief in addition to Gift Aid reclaims, so Pageant has still
been getting 28p for every £1 donated.
This transitional relief ended on 5 April
2011, so for the financial year starting on 6 April 2011, Pageant
will only get 25p for each £1 donated.
Pageant is a UK
Charity - Registered No 1093963