Gift Aid

What is Gift Aid?

When you make a donation to a charity, CASC or voluntary organisation, that charity is able to claim back the tax that you have paid on the donation. This mechanism is called Gift Aid and amounts to an extra 25p for every £1 that you give.

How does it work?

If you give £10 to a charity and you are a basic rate taxpayer (20%), you will have paid £2.50 in tax on the gross donation (to take home £10, you will have earned £12.50 before tax). Charities are able to reclaim this £2.50 back from HMRC.


The Institute's position

The Institute of Fundraising believes that continued Government support for Gift Aid is essential but that reforms to the system would bring even greater benefits to fundraising organisations and inspire even more people to give to charity.

The Institute has continued to push for improvements to the system to maximise the benefit to fundraising organisations.


Gift Aid for Charities

Find out more about Gift Aid for Charities, or if you work for a registered charity, get the most out of Gift Aid with our index:

Gift Aid for Charities

Registering and claiming

Gift Aid declarations

Keeping records

Gift Aid in specific situations

Benefit rules

Umbrella Charities



Gift Aid for Donors

If you are donating to charity, find out how gift aid can affect your donation.