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Posted Mon, 25 Mar 2024 15:11:49 GMT by hambalapa Clark
Over the past year 2023/2024 a charity shop has sent me several emails notifying me of goods sold and amounts raised, aggregating to £249.68. The most recent one says to contact the charity within 21 days if "you expect to pay less than £62.42 in the tax year to 5th April 2024 in UK Income and/or Capital Gains Tax to meet the Gift Aid amount claimed in this tax year by Charity XXX". The wording was ambiguous so I queried it and the reply I got was that on self assessment the £62.42 was the figure that should be entered. This has confused me. The sales of goods aggregate to £249.68 so the £62.42 is exactly 25% of that. Surely the figure to entered to enter in SA100 Box 5 & 6 would be £249.68? Or is money raised by the sale of donated goods different in some way from standing order or direct debit donations.
Posted Wed, 27 Mar 2024 13:43:47 GMT by HMRC Admin 5 Response
Hi 

The charity is making sure you have paid enough tax for them to claim the gift aid to receive extra funds.
If not, then you need to pay the tax that they have claimed the gift aid on. see guidance at Tax relief when you donate to a charity

Thank you

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