Gift Aid is a scheme in the UK that allows charities to claim an extra 25p for every £1 donated by UK taxpayers. This means that if you donate £100 to a charity through Gift Aid, the charity can claim an additional £25 from HM Revenue and Customs (HMRC), making your donation worth £125 to the charity. To qualify for Gift Aid, you must be a UK taxpayer and have paid enough income or capital gains tax to cover the amount the charity will claim on your donations in that tax year.
Learn more about how Gift Aid works and how to report on Gift Aid disbursements.