Gift Aid

Increase your donation by 25% with no extra cost!
How?
It’s simple. Government Legislation allows charities to gain back the tax of the donation!
In April 2000 the Government brought in new legislation regarding individual donations to charities, allowing us to claim the tax on any donations made by a UK taxpayer. This increases the value of your donation at no extra cost to you.

What is Gift Aid?
It is tax relief for single or multiple cash gifts (cheque, bank transfer and credit card) made to UK charities by UK residents. There is no upper limit to the amount you can give in each tax year. Gift Aid tax relief is intended for outright gifts, not for payments to buy goods and services for you or your family. Also payments that have already received tax relief cannot be Gift Aid payments eg under a Payroll Giving scheme or by charity voucher.

How does it work?
You make a donation to the BUBBLE FOUNDATION net of basic rate tax and give the charity a declaration so that it can claim tax back from the Inland Revenue.

Example – basic rate tax You send £100 to the bubble foundation. The Gift Aid scheme treats it as a gift made net of basic rate tax. If the basic rate of tax is 22%, this represents a gross amount of £128.

gross donation = £128
basic rate tax @ 22% = £28
net donation = £100
If you pay tax at the higher rate, your gift will have the tax refunded at the basic rate but the net cost to you will be lower.

gross donation = £128
basic rate tax @ 22% = £28
higher rate tax relief @ 18% = £23 (claimed through self-assessment form)
net cost to donor £77

You must have at least as much income charged as the amount of your gross donation. If the donation exceeds this amount the Inland Revenue may ask you to make up the difference.