United Kingdom Gift Aid and higher-rate tax relief
Gift Aid lets qualifying charities reclaim tax on donations. Higher-rate taxpayers can claim additional relief separately, with declarations and tax-paid limits applying.
On this page
- Charity reclaim
- 25p for every £1 donated.
- Tax-paid limit
- Qualifying donations cannot exceed 4 times the tax paid in the tax year.
- Donor relief
- Higher-rate relief is claimed separately from the charity reclaim.
Charity claims and declarations
Gift Aid allows charities and community amateur sports clubs to claim an extra 25p for every £1 donated, without an extra cost to the donor. Most donations qualify, but some payments do not. HMRC, Gift Aid (opens in a new tab).
A Gift Aid declaration is required for each charity receiving donations through Gift Aid. The charity or club must have an HMRC charity reference number. A declaration can cover current and future donations and donations made in the last 4 years. HMRC, Gift Aid (opens in a new tab).
Paying enough tax
Donations qualify only if they are no more than 4 times the tax paid in the tax year, from 6 April to 5 April. That tax can have been paid on income or capital gains. HMRC, Gift Aid (opens in a new tab).
If a charity or club reclaims more tax than the donor paid, HMRC may ask the donor to pay more tax to cover the difference. Charities must be told if the donor stops paying enough tax. HMRC, Gift Aid (opens in a new tab).
Higher-rate relief and claim routes
A higher-rate taxpayer can claim back the difference between the tax paid on the donation and the amount reclaimed by the charity. The claim can be made through Self Assessment or by contacting HMRC to amend the tax code. HMRC, Gift Aid (opens in a new tab).
Gift Aid relief can also be claimed on current-year donations made up to the date a Self Assessment return is sent, to obtain relief sooner or where higher-rate tax applied in the previous year but will not apply in the current year. This is unavailable if the return deadline is missed or the donations do not qualify: donations from both years together must not exceed 4 times the tax paid in the previous year. HMRC, Gift Aid (opens in a new tab).
Scope
This guide provides general information only. It does not assess individual tax liability or entitlement and contains no worked example.