Tax benefits with Gift Aid
Gift Aid is a scheme run by HMRC that allows charities to claim an additional 25% on the donations you have given. And the best bit is that it doesn’t cost you a penny!
To Gift Aid your donation you have to be a UK taxpayer, at the standard rate or higher rate. You have to pay enough tax to cover the amount that the charity will claim in one year.
For example, if you donate £8.50 a month (£102.00 per annum) in any one year, Pace will claim an additional £25.50 from HMRC on your behalf, at no extra cost to you. Gift Aid makes your donation go even further, with £25 paying for an hour of hydrotherapy for a child with cerebral palsy.
See the table below, which illustrates the benefits of the tax relief at different tax rates.