We are supporting continuing calls for the Government to temporarily increase the rate of Gift Aid and protect charity business rate relief in the upcoming Budget.
The Charity Tax Group and the Charity Finance Group have submitted budget representations in a letter to Chancellor, Rt Hon Rishi Sunak MP, that they believe would lead to a simpler and fairer tax system for charities.
This follows last year’s call by a coalition of major charities (including Brain Tumour Research) that urged the Government to temporarily increase the rate of Gift Aid not-for-profit organisations can claim in an attempt to provide a £450 million boost to the sector’s finances.
The latest submission highlights five core tax policy issues that charities face, calls on the Government to consider introducing a special VAT rate of 10% for charity purchases, and urges the Treasury to protect charity business rates relief in England as part of an ongoing review.
In addition, the submission calls for the Government to bring forward a review of advertising and the associated tax treatment for charities and extend the zero VAT rate to social media advertising.
Our Director of Finance and Operations, Ashley Bailey said “We support this submission calling for greater support for our sector, particularly when such Governmental support is being seen in other sectors. I’m particularly interested in removing VAT from social media advertising as this is a key communication channel helping us to reach new audiences in the increasingly digital fundraising world.”
The Budget is due to take place on 3rd March and the full budget submission can be accessed here.
If you found this story interesting or helpful, sign up to our weekly e-news and keep up to date with all the latest from Brain Tumour Research.