This article explains what Gift Aid is, who is eligible for Gift Aid and how it can be applied to donations on givestar
Gift Aid is a tax relief scheme available to charities and Community Amateur Sports Clubs (CASCs), allowing them to reclaim an extra 25% on every eligible donation made by a UK taxpayer from HMRC.
The charity or CASC can claim an extra 25p for every £1 you donate, as long as the donor has paid the basic rate of tax, makes the donation from their own funds and is not receiving anything in exchange for the donation.
That means Gift Aid can increase the value of your donations by 25%, so you can give even more to the causes you care about.
So for example, if you donate £20 and add Gift Aid the charity can reclaim a further £5 making your total donation worth £25 to the charity.
Why are some donations not eligible for Gift Aid?
To be able to claim Gift Aid on your donation, you must be a UK taxpayer and your donation must be given freely.
The following are not eligible for Gift Aid:
- A donation made on behalf of a third party (e.g. family member, friend, group of people).
- A donation made as part of a sweepstake, raffle or lottery.
- A donation where you directly benefit from it e.g. an auction prize or a ticket to an event.
- A donation made by a Non-UK Taxpayer
You can learn more about Gift Aid here
How do I add Gift Aid?
You will have the option to apply Gift Aid after you have chosen your donation amount.
- Simply click ‘Yes’ in the Gift Aid Section
- Accept the declaration statements (if applicable)
- Add in your personal details and continue through the payment process