As many of you know, Gift Aid is a great government scheme that means charities can claim back 25p for every £1 donated. What you may not know, is that charities are also able to claim Gift Aid as part of a crowdfunding campaign. For those that are eligible, it’s a really simple process and could help you raise a significant amount more for your cause. For example, if you're crowdfunding campaign raises £10,000, you could increase that to £12,500 with Gift Aid!

How to add Gift Aid to my project

To add Gift Aid click on the edit project button on your dashboard and go to the Basics section

Then scroll down to tick the Enable Gift Aid button. The gift aid box will then be enabled for donations.

When adding rewards, tick the box to say that the reward is eligible for Gift Aid and the Gift Aid option will appear when supporters pledge on that reward.

There are eight steps to claiming Gift Aid as a crowdfunding.

1. Apply to HMRC for recognition as a charity or CASC for tax purposes

You should make sure that your organisation is set up to be eligible to receive Gift Aid as soon as possible. You may also need to register with the Charity Commission if your annual income is greater than £5,000.

2. Nominate an authorised official and/or nominee.

3. Check that your rewards and pledge amounts are eligible for claiming Gift Aid.

4. When editing your project, tick the Gift Aid box for eligible rewards. 

The following declaration will then appear to backers who select Gift Aid when they pledge.

“I confirm that I am a UK taxpayer and I understand that if I pay less income tax and/or capital gains tax in the current tax year than the amount of Gift Aid claimed on all my pledges, it is my responsibility to pay the difference.”

5. Tick the address box for eligible rewards too. 

You’ll need the names and postal addresses of your backers in order to claim Gift Aid.

6. Run a successful Crowdfunder campaign!

7. Download your Gift Aid report.

This is available to download from the Manage section of your dashboard. The report contains the names and addresses of supporters who selected Gift Aid when pledging on your project. You will need this when claiming Gift Aid from HMRC.

8. Make a Gift Aid and tax repayment claim.

You can find further information here: https://www.gov.uk/claim-gift-aid/overview

IMPORTANT: If you are running a charity fundraiser, you don't need to enter bank details when setting up your project. The Charities Trust will handle all Gift Aid processing and pay it directly into the charity's bank account.

Tag: giftaid 

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