Spreading the Love

[zuby84]

Hey,

I want to give some money away to charity and I would rather do this through my Ltd company. I understand that I can offset my contribution against my taxable profits which is fine if I pay a UK registered charity.

However; I have some colleagues who are involved in more informal charity aid; ie going abroad and digging wells in India, buying cows for farmers in Africa, taking over medical supplies etc... These informal charity acts don't happen through registered charities; is there a way I can pay these people and still get tax-relief on it or does it have to be through a UK/official registered charity. The irony is that these "informal charities" actually put the money to a lot better use!

Cheers

[ringram]

You are right uk registered charities probably waste 75%
Funding direct to the end recipient is far more efficient. Arguably you are better of donating less and not getting tax credit than donating more to a rent seeking institution and getting a tax credit.

Either way both should be deemed an "expense" if you get a receipt. Only one also comes with a tax credit on top.

[Eric Mc]

If you give personally under Gift Aid, the charity, if a UK registered charity, can claim an additional 215% from UK Gov. In addition, if you are a higher rate Income Tax payer, you will be able to get some of that higher rate tax refunded to you.