Chartered Accountants and Professional Business Advisers

Gift Aid Declarations

HM Revenue & Customs (HMRC) issued new guidance on Gift Aid on 24 February, which says:

‘Your charity must explain to donors who are making a Gift Aid declaration that they need to pay at least as much UK Income Tax and/or Capital Gains Tax for the year of donation as you, and any other charities and CASCs they donate to, will claim on their donations.' It goes on to say that 'If your charity or CASC does not provide this explanation the declaration will be invalid and Gift Aid will not be due on the donation."

The declarations made to most charities up to now have not included the wording now recommended. The new guidance led to concerns that HMRC could, therefore, disallow all the donations made under the shelter of these defective declarations. However, HMRC confirmed on 14 March 2012 that they will continue to accept Gift Aid claims on donations made using forms based on the wording in the old HMRC model declaration until 31 December 2012.

Charities are recommended to update their gift aid declarations and adopt the new guidance as soon as possible.

HMRC have updated their guidance on Gift Aid declarations and provided a new model declaration.

We can provide alternative model gift aid declarations to those provided by HMRC, which we feel meet the requirements of HMRC and existing legislation. These can be downloaded here.

We would be happy to assist with the wording of your gift aid declarations to ensure that you are fulfilling HMRC's requirements.

Specific advice should be obtained before taking action, or refraining from taking action, on any of the subjects covered above.  If you would like advice or further information, please speak to your usual Shipleys contact

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