Gift Aid

How does Gift Aid work?

When a UK taxpayer gives a gift of money to a charity, tax has already been paid on that money. Because you are exempt from tax, we can claim this money back from HM Revenue & Customs (HMRC) and give it to you.

How is Gift Aid calculated?

Get ready for the maths – you may need a calculator for this one.

Under HMRC’s Gift Aid scheme, charities can reclaim an amount equal to basic rate tax (20%) on the amount of the donation, plus basic rate tax already paid by that taxpayer on that donation. To do this, you need to use a ‘grossing up’ fraction.-Let’s take a £100 donation as an example.

The fraction applied to calculate Gift Aid is 100 x 20/80. This is 25% of £100 which equals £25.

When making financial donations(embed link) the website will guide you through an electronic gift aid declaration. When donating items to our shops, you will be given a paper declaration to complete. We are required to collect this information in order to identify you as a UK tax payer.