The government is talking about removing some of the benefits currently available to those giving large donations to charitable organisations.
Now I don't know anything about this and if there is a way of avoiding paying tax by giving large sums to charity, I mean to a layman like me earn a million and give half a million to charity isn't a tax benefit as you dont pay tax on the donation but if you donate it you don't have it in your bank either.
What it does make me think about is a question asked not so long back in the forums, "why do big businesses or wealthy business people give large amounts to Political Parties" ?
So all I want to know from the government really is "if were going to plug a potential tax evasion gap by not giving certain tax benefits to charitable donations, will we be examining the tax benefits given to those that donate to political parties" in the same way and with the same gusto ?
Join the most popular community of UK swingers now
Login
Anyone know ?
Quote by MidsCouple24
The government is talking about removing some of the benefits currently available to those giving large donations to charitable organisations.
Now I don't know anything about this and if there is a way of avoiding paying tax by giving large sums to charity, I mean to a layman like me earn a million and give half a million to charity isn't a tax benefit as you dont pay tax on the donation but if you donate it you don't have it in your bank either.
What it does make me think about is a question asked not so long back in the forums, "why do big businesses or wealthy business people give large amounts to Political Parties" ?
So all I want to know from the government really is "if were going to plug a potential tax evasion gap by not giving certain tax benefits to charitable donations, will we be examining the tax benefits given to those that donate to political parties" in the same way and with the same gusto ?
It's tax avoidance not tax evasion. What tax benefits do political donations receive?
Sexlightened
Quote by MidsCouple24
.......So all I want to know from the government really is "if were going to plug a potential tax evasion gap by not giving certain tax benefits to charitable donations, will we be examining the tax benefits given to those that donate to political parties" in the same way and with the same gusto ?
The Changes are to limit the 50% tax relief that you get by making a donation to charity - mean really as it will limit charitable donations..
You get no tax relief on a payment to a political party so no examination possible - what you do seem to get is dinner with the PM - and it looks like there looking into tat big time finally.
Quote by alaninuk
.......So all I want to know from the government really is "if were going to plug a potential tax evasion gap by not giving certain tax benefits to charitable donations, will we be examining the tax benefits given to those that donate to political parties" in the same way and with the same gusto ?
The Changes are to limit the 50% tax relief that you get by making a donation to charity - mean really as it will limit charitable donations..
You get no tax relief on a payment to a political party so no examination possible - what you do seem to get is dinner with the PM - and it looks like there looking into tat big time finally.
Thankyou for that explanation, I still feel sorry that some worthwhile charities will lose out but feel better that at least they are not "hitting one whilst looking after thier own as usual".
on another note I still feel it is sad that this Country gives a vast amount of Foreign aid out whilst our finest childrens hospital St Ormand st relies on charitable donations, and others such as the protection of children, homeless organisations and St Barnados, many of which should not need to be funded by charity they should be funded by government, seems to me that if the Government do make it harder for those charities to get donations they will at some point have to step in with the shortfall or accept that children are not safe in this country under thier governing
Listened to Michael Portillo on the SkyNews Newspaper Review this morning.
He said that, regrettably, the Government are not very good at explaining their fiscal policies which has led to widespread misunderstanding of this issue.
What he went to explain is that there are some 'charities' that are not really charities at all; they stand very close to the 'giver' and are used as a tax avoidance (maybe even evasion) measure and it is that practice which the Government seeks to stop.
Now, I'm all in agreement with that. There is no intention to take away genuine tax free giving to charities (the new rules are massively genuine anyway and very few private individuals would ever aspire to reach such heady heights) but to stamp very firmly on those who seek to exploit generous 'giving' rules for their own ends under the guise of philanthropy.
In edit... I meant to say generous
He said that, regrettably, the Government are not very good at explaining their fiscal policies which has led to widespread misunderstanding of this issue.
What he went to explain is that there are some 'charities' that are not really charities at all; they stand very close to the 'giver' and are used as a tax avoidance (maybe even evasion) measure and it is that practice which the Government seeks to stop.
Now, I'm all in agreement with that. There is no intention to take away genuine tax free giving to charities (the new rules are massively genuine anyway and very few private individuals would ever aspire to reach such heady heights) but to stamp very firmly on those who seek to exploit generous 'giving' rules for their own ends under the guise of philanthropy.
In edit... I meant to say generous
I am all for filling loop holes and stopping people from profiting from the exploitation of our natural generosity to support charities, a tightening up of the "charity status" would help. It seems at the moment that it is quite easy to form a charity, solicit donations and funds from places like the lottery and avoid tax whilst drawing great salaries for the organisers. Some high street charities rely on the goodwill and charity of thier staff whilst much of what they make is paying high salaries amongst the heirarchy of the organisation.
Stories of clothing collection bins being used to gather clothes that are then SOLD in poor countries at non charitable costs or recyled into cottons for sweat shops etc do not help the genuine charities and those that give thier time or money to them. The whole thing needs to be looked at.
Stories of clothing collection bins being used to gather clothes that are then SOLD in poor countries at non charitable costs or recyled into cottons for sweat shops etc do not help the genuine charities and those that give thier time or money to them. The whole thing needs to be looked at.