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saulius comments on UK Income Tax & Donations - Effective Altruism Forum

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Comment author: saulius  (EA Profile) 01 June 2018 09:04:52AM 0 points [-]

I knew a lot of this before donating but I still lost some money. I'll describe how. I got my first UK job in September 2015 for a company that did not have payroll giving scheme set up. I donated some money in January 2016 and May 2016 and I let the charity claim gift aid (25%) in both cases. Since I was a 40% tax payer, I was eligible to claim the difference between my tax rate and gift aid (40%-25%=15%) from the government. However, I was told that I could only claim this difference for my May 2016 donation because I didn't pay enough tax in the tax year that ended on April 2016.

If you call tax helpline (https://www.gov.uk/government/organisations/hm-revenue-customs/contact/income-tax-enquiries-for-individuals-pensioners-and-employees), they generally can answer all the questions about your situation.