to cap the rate of income tax relief on donations to charity, limiting it to the basic rate of income tax.
Of course, the charity that funds Spud doesn’t benefit from Gift Aid as it doesn’t take donations and is instead spending down its capital.
to cap the rate of income tax relief on donations to charity, limiting it to the basic rate of income tax.
Of course, the charity that funds Spud doesn’t benefit from Gift Aid as it doesn’t take donations and is instead spending down its capital.
Interestingly I actually think this is one a clever government could implement – (while I completely agree on Murphy’s hypocrisy Tim but that’s another matter)
Remove the higher rate relief, watch donations plummet and loads of smaller charities either go to the wall or have to radically reduce the scope of their activity and say – ‘See that fat bastard over there in Ely?’He’s the reason your recipients are starving and dying!’
Of course for Murphy he’s so moronic he won’t care and he seems to operate on the principle ‘no publicity is bad publicity’ but might force his ‘blocking’ on Twitter up towards the 30 K range
In 2013, an outcry from charities mainly supported by the wealthy and their wealthy donors forced George Osborne to back down on this issue, but subsequent research suggests that Gift Aid might not be nearly as significant to the wealthy as was thought, whilst the way in which this relief works remains an affront to all forms of tax justice. The time for the unequal and inequitable treatment that it provides to end should have arrived.
This is already the practice in Canada. Almost all deductions (aside from input into registered saving plans) are given a deduction from total tax owed equal to the lowest tax rate on those amounts. There is an exception for donations to political parties which get a much higher tax deduction.
So many charities have become mere political pressure groups that I’d rather cut to the chase and just withdraw charitable status altogether.
It would be a bit of a bugger for the various educational charities that send begging letters to our household but so be it.
The extra tax revenue raised would be used to … ah bugger, it would all be wasted anyway. Still, it would be wasted more publicly in a way that would be easier to police.