The government has pressed ahead with plans to increase the individual donation limit on the Gift Aid Small Donations Scheme.
Announced in the Budget last November, the change will increase the individual donation limit to £30, which applies to small collections where it is impractical to obtain a Gift Aid declaration.
Robert Jenrick, exchequer secretary to the Treasury, laid the order before the House of Commons on 14 January, confirming that the increase in the small donation limit from £20 to £30 will apply to gifts made on or after 6 April.
Yesterday, the order was actively approved by the Eighth Delegated Legislation Committee in the Commons.
Speaking to the committee, Jenrick said: “Some 80 per cent of the organisations that currently participate in the scheme claim well below the £8,000 overall limit that we have set in the past, so we estimate that 20,000 organisations will benefit from greater top-up donations as a result of the draft order.
“The draft order’s change to the donation limit will benefit the good causes to which the donations have been pledged. I commend it to the committee.”
Clive Lewis, Labour’s shadow minister for the treasury, asked Jenrick whether the government would look to increase the overall £8,000 limit that charities can claim without declaration as well.
Jenrick said in response: “We increased the limit substantially, from £5,000 to £8,000, as recently as 2016, so we think it logical to keep it at that level for the foreseeable future.”
A spokesperson for the Charity Tax Group said the increase was the “logical step” for the scheme.
|
Related articles
