Giving through the SA return – Charity list re-opened

From April 2004 Self Assessment Taxpayers will be able to use the tax return form to donate to charity all or part of any repayment due to them. The donation will go direct to the chosen charity’s bank account; the taxpayer can choose to Gift Aid the donation and any tax on Gift Aided donations will be paid to the charity without the need for a claim.

In June we gave details of how charities could sign up with us to be included on the list for donors to choose from. We originally asked charities to let us have their details by 30 September. There has been a considerable amount of interest. Around 35,000 charities have signed up. We want to ensure that any others who want to participate can do so. In the Pre-Budget report on 10 December the Chancellor announced that the charity list would reopen and remain open on an ongoing basis. Any charities which have not signed up to participate in this scheme and wish to do so, may now send their details. The application form link below gives more information together with the form to be completed and returned to us.

application form (PDF 63K)

The first list will be available to taxpayers when the Self Assessment returns are issued next April. We will then update the list on 1 June 2004, 1 September 2004, 1 December 2004 and 1 March 2005. In order to make sure you reach as many taxpayers as possible before they file their 2003/04 returns you should aim to get your details to us by early March 2004 to go on the initial list for April. After that, sending your details by mid May will ensure the charity is on the updated list in June and if we have your details by mid August you will be on the September update. If we have your details by mid November you will appear on the December list.

The return filing date for taxpayers who want the Inland Revenue to calculate the tax due is 30 September - so it would be an advantage to be on the list for the September update. The next major deadline for filing returns is 31 January. This is the last date for filing before a penalty is charged - so charities who do not sign up in time for the December list will miss almost all of the 2003/04 returns. But of course you will be on the list when taxpayers complete their 2004/05 returns.

If you have already registered for this scheme, please remember to let us know if any of the details you provided have changed. Write with details of changes to IR Charities, SA Donate, St John’s House, Merton Road, Bootle, Merseyside, L69 9BB quoting your unique code number as well as your Inland Revenue repayment reference.

This scheme is a real opportunity for charities to benefit from a new source of tax efficient donations. Individual charities have an important role to play in raising awareness by telling their own donors about the scheme and encouraging them to give in this way.