HMRC have recently commenced another one-to-many letter campaign, this time focusing on Gift Aid repayment claims by charities. 

The educational letter aims to assist charities in ensuring their Gift Aid claims on aggregated donations are correct, by reminding them of the requirements. 

  • Donations of £20 or less from different donors may be aggregated and shown as one entry on the Gift Aid claim spreadsheet. 
  • The total donation on one line cannot be higher than £1,000 and the total cannot include donations associated with admissions to charity visitor attractions.

To claim Gift Aid on aggregated donations, the charity does not need to enter the name and address of individual donors. Instead, the charity must enter: 

  • A simple description in the aggregated donations box, for example, 'Thursday club'.
  • The date of the last donation.
  • The total amount raised.

There is no limit to the number of lines on a claim schedule.

Charities should only add together donations that were made within the same accounting period. 

  • Evidence of individual donations should be kept, showing that they Qualify for Gift Aid
  • Charities must keep all records for six years from the end of the accounting period they relate to.

Useful guides on this topic

Gift Aid: How it works
What is Gift Aid? How does it work? What are the rules? 

Gift Aid declaration: Single donations
Freeview single donation Gift Aid declaration. For multiple donation declarations, see here.

Other Gifts to Charity
Gifts to Charity: can you obtain tax relief on a gift to your local charity or community amateur sports club? What about gifts to your church, mosque or synagogue? Do you need to be a taxpayer? Are there any tax reliefs?

External link

CIOT: HMRC One to Many Letter – Gift Aid repayment claims

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