Giving FAQs

FAQ down What is "tithing"?

FAQ down What is an "offering"?

FAQ down What are tithes for?

FAQ down Where should the tithe be given?

FAQ down Can I designate my offerings?

FAQ down What if I'm not earning?

FAQ up What is Gift Aid?

Gift Aid is a government scheme through which income tax on your charity donation can be reclaimed from HMRC by the charity, in this case the Church.  If you are a UK taxpayer, the effect is to add 25% to the value of your giving, at no cost to you.  

There are two ways to look at Gift Aid.  The simpler way is to give what you want to give and let gift aid increase it.  For example, if you decide to give £100 with gift aid, the Church receives the £100, claims £25 from HMRC, and therefore benefits by £125.

The other way, and the way that HMRC describes it, gives tax relief to the donor.  For example, if you decide you want to give £100, you actually give £80 (£100 net of tax).  In addition to this £80, the Church claims £20 from HMRC, and so receives the full £100 that you intended; but it has cost you only £80.

Gift Aid is always claimed at the 20% tax rate.  If you pay tax at a higher rate, you can claim the difference as tax relief, resulting in an extra benefit from giving.

Please note that you have to be a UK taxpayer to give with gift aid. And the tax you pay should cover the tax reclaimed by the Church. The quick way to check this is to multiply the amount of income tax you pay in a month or year by four, and that is the maximum you can give in a month or year by gift aid.  For example, if you pay £200 income tax each month, £800 is the most you can give in a month by gift aid.   Less ...

FAQ down How do I add gift aid?