Gift Aid payments. Gift Aid is an important source of income for a Charitable Trust as it can claim back from the Inland Revenue the basic rate of tax an individual taxpayer would pay on any gift aid donations. However, gift aid donations from companies are different, as the Charitable Trust cannot claim any tax back on such gifts. The rules are explained below: Individuals: Where individuals make Gift Aid payments, they must complete a Gift Aid declaration form, the Charity concerned then can claim back the tax relief from the Inland Revenue (currently the equivalent of 28%). Businesses: If a company decides to give money to charity, it simply makes the payment through Gift Aid and deducts the total amount when working out its profits for corporation tax purposes. You make the full payment to the charity. You do not need to deduct any tax from the payment and the charity does not claim any tax on the gift. You no longer have to provide a Gift Aid certificate to the charity nor provide a new form of declaration. If an individual who joins the Company has his/her joining fees paid by their company then, unless such payments are grossed up the Company Charitable Trust will lose the 28% it can claim back on Individual payments. Therefore, any Joining Fees paid through companies will be set at the grossed up figure. To equate to individual Gift Aid payments, company Gift Aid payments need to be grossed up by 28%. Therefore Joining Fee £400 x 28% = £512. Summary: Individuals pay £400.00 joining fee. The Company of Security Professionals then claims the additional 28% from the Inland Revenue. Subscription Fees: £175.00 subscription or quarterage of £131.25 between January and March, £87.50 between April and June and £43.75 between July and September. Those joining between October and December will pay the next year’s full subscription. Payments of Subscription Fees through companies are the same. However, payment of Joining Fees through companies will be at the grossed up figure, the payments will be: Company grossed up: £512.00 joining fee. Subscription Fees: (same as individuals) £175.00 subscription or quarterage of £131.25 between January and March, £87.50 between April and June and £43.75 between July and September. Those joining between October and December will pay the next year’s full subscription. Henry McKay Treasurer Effective 1st July 2004 Return to the top of the page