If you are a UK taxpayer, you can Gift Aid your donation and increase its value to Abingdon School by 25%, at no extra cost to you; we will claim from HMRC the basic rate tax you paid on the value of your donation. To Gift Aid your donation, just complete the Gift Aid declaration at the bottom of the donation form, noting also whether you would like to Gift Aid previous donations (made during the current and last four tax years) and/or future donations to Abingdon School. Note: If you are making a donation from your company, it is not eligible for Gift Aid; however, you can treat the donation as an allowable expense, making a saving on corporation tax.
- Download (Excel) a Gift Aid calculator.
- Want to carry back a Gift Aid claim? If you make a donation (with Gift Aid) during the current tax year, in your Self-Assessment Tax Return for the prior tax year, you can ask HMRC to treat the current tax year donation as being made in the prior tax year provided you paid enough tax in the prior tax year to cover both donations made (with Gift Aid) in the prior tax year and those (that you wish to backdate) made in the current tax year.
Tax Relief
If you donate cash and are a higher rate (40%) tax payer, you can claim Income Tax relief for yourself on the difference between your rate and the basic rate (20%). The information below illustrates tax relief were you to make, for example, a £500 donation:
| Donation | £500 |
| Tax Relief (if 40% taxpayer) | – £125 |
| Net cost of donation to you | £375 |
Cash donations included as part of a legacy in your Will are also exempt from Inheritance Tax.
- Download (Excel) a tax relief calculator for cash donations.
- Earn more than £100,000? Since April 2010, UK tax payers with net adjusted annual income of over £100,000 have had their Personal Allowance reduced, or even removed. For the 2015/16 tax year, UK tax payers (irrespective of age) with between £100,000 and £121,319 of income will receive a lower Personal Allowance (reduced at a rate of £1.00 for every £2.00 of income over £100,000). UK tax payers with £121,320 or more of income will completely lose their Personal Allowance. For higher income earners, this means that the amount lost in Personal Allowance is taxed at 40%, whereas before 2010, it was tax free. Therefore, the effective marginal tax rate on income between £100,000 and £121,320 is approximately 60%. To mitigate some or all of the 60% tax, UK tax payers can donate with Gift Aid to Abingdon School.
- Live in the USA? US Tax Payers can make a cash donation to the British Schools and Universities Foundation, stating Abingdon School as your preferred beneficiary, and receive a full US tax deduction for your donation. BSUF is a US nonprofit, tax-exempt 501(c)(3) foundation. Abingdon School is a member of BSUF, and has received grants from BSUF at the request of Abingdon School donors. For more information, visit BSUF’s web site.
