Budget: Changes for charities
Budget: Changes for charities
On Wednesday 18th March, Chancellor George Osborne announced his final budget before the general election in May 2015. It contained a range of measures that will affect the charities sector, including:
- Gift Aid Small Donations Scheme has been extended to allow charities to claim on donations totalling £8,000, an increase from the current maximum of £5,000. However, whilst an increase is welcome, the mechanisms by which charities apply to take advantage of the scheme remains complicated, which has led to a relatively low uptake.
- The government has allocated funds/ tax breaks to a variety of charities, including:
- £75 million to military charities (received from LIBOR fines);
- £40 million to the Church Roof fund;
- £35 million tax relief for Orchestras; and
- £35 million to blood bikes, hospices and search and rescue charities.
- The Charity Authorised Investment Fund is being introduced as a new type of investment fund for exclusively charitable purposes. The intention is to ensure they receive the same protection and regulation as funds for private investors. If successful, it is likely that they will replace the Common Investment Fund.
For more information or to discuss your requirements contact one of our charity solicitors today on 01895 207809 or email charities@ibblaw.co.uk.
