What gifts can benefit the donor as well as the charity?

Gifts of most shares and securities will give tax relief for the donor at the market value of the disposal, plus any transfer costs less any payment of benefit received from the charity. It could be worth considering if alternative approaches are more tax effective, such as the donor disposing of the investment commercially and passing the proceeds to charity with a Gift Aid declaration, or selling to the charity at undervalue and passing the proceeds to charity with a Gift Aid declaration. Donors can also give land and buildings to charities to obtain tax relief, however to qualify they need to dispose of their entire interest, which could be by granting a lease. Charities are generally exempt from stamp duty land tax.

Want to discuss further?

Helen Elliott

Partner

Ross Palmer

Senior Tax Manager

Gillian McKay

Senior Tax Manager

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