If you are a taxpayer and use Gift Aid for 'donations' to the UKPSA, as a registered charity we  reclaim tax on that donation.

If you are a higher rate taxpayer, you can claim personal relief on these donations and now you can get this relief earlier.
 

How Gift Aid works

Gift Aid donations are treated as having had basic rate tax deducted - which the UKPSA can reclaim.

So for every £10 you give, the UKPSA will receive another £2.80 from the government. This is a good thing.
 

However, for the UKPSA toclaim this you have to:

• be a taxpayer yourself. You must have paid enough income tax or capital gains tax or both in that year to cover what the we claim on your donations.

• give the UKPSA a declaration which allows them to claim the tax. The declaration is on our membership and renewal forms.

If you pay higher rate tax, you can personally claim relief based on the difference between the basic and higher rates.

For example, if you pay tax at 40%, and give £10 to the UKPSA we can receive (as before) a further £2.80, making a total of £12.80. This £12.80 is called the 'gross donation'. You can claim relief for 18% of this, which reduces the tax you pay by £2.30.

To claim your higher rate tax relief early

Higher rate relief is claimed in your return. Normally you claim relief for Gift Aid donations made in the year that your tax return relates to. But now you can also claim relief for donations made from the end of that year up to the time you send us your return.

For donations made during 2002/2003.
Add up the Gift Aid donations made in 2002/2003.
Enter the total amount in box 15A.1 (and 15A.2 if necessary).
For donations after 5 AprIl 2003 where you want to claim relief early.
Add up the Gift Aid donations you make between 6 April 2003 and the date you send the Inland Revenue your 2002/2003 tax return.
Enter the total amount in box 1 5A.3 on your 2002/2003 tax return.
Make sure that theyreceive this 2002/2003 tax return by 31 January 2004.

Bear in mind.

• You can claim relief on all donations you have made up to the date you send in your tax return.

• Keep a list of the donations for which you claim relief early. You could be receiving relief on donations made up to January 2004, so remember not to include them in your 2003/2004 tax return as well.

• You don’t have to tell the UKPSA or other charities that you are claiming your tax relief early. We all claim our share depending on when we receive your donation.

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