Top charity tax claim errors to avoid

The most common errors made by charities in dealing with tax matters have been catalogued by HM Revenue and Customs, and published by the Charity Tax Group.

Civil Society News reports that a top error is with organisations changing personnel or appointing new employees, without changing their details or letting HMRC know. Also high is “claiming excessive Gift Aid Small Donations Scheme (GASDS)” income.

Charity Tax Group article containing HMRC feedback, which also includes top queries from charities and some statistics.

Charity Finance Group has a piece giving associated “top tips for claiming Gift Aid and avoiding errors”. Their intro para:

Every year, around 70,000 charities claim tax reliefs worth billions every year. But as anyone who has ever interacted with the Gift Aid system knows, it isn’t always plain sailing. Errors are quite common, particularly for small charities, and these can hold up the Gift Aid process – delaying payments and creating headaches for both the charity and HMRC.