Share

HMRC gives charities four months to prepare for online gift aid

HMRC gives charities four months to prepare for online gift aid
News

HMRC gives charities four months to prepare for online gift aid

Fundraising | Celina Ribeiro | 3 Dec 2012

More than a year and a half after announcing the move to online gift aid filing, the HMRC late last Friday afternoon published details of the new scheme, giving charities just four months to get their systems in order.

Chancellor George Osborne announced the move to online gift aid submission in the Budget of 2011, but it took until 30 November 2012 for details to be published. The HMRC on Friday also sent out communication to nearly 500 of the biggest gift aid claimants to advise them of how the new system will work.

As revealed this September, the new system will come into effect in April 2013 and will replace the present paper-based system. It will comprise of three levels; charities which do not have internet access can submit their claims by paper forms, but these will differ from present system – the paper option will be set out like a passport form, in which each letter needs to be in a separate box and the HMRC will not be accepting photocopies for repeat donors. The two other routes are web-based; for charities with less than 1,000 records, they will be able to upload their database to the HMRC web portal, 'Charities Online' while charities with any more than 1,000 records will have to link their data with the HMRC system – a link which will likely require database upgrades or changes.

The system is designed to be more secure, cheaper and faster than the present paper-based gift aid scheme. It will also enable charities to claim Gift Aid Small Donations Scheme payments.

However, the short time frame between the details being published and the scheme coming into effect has got the Institute of Fundraising concerned about charities ability to implement necessary changes.

A spokeswoman for the Institute told civilsociety.co.uk that the organisation would ideally like a period of six months for the two schemes – past and present – to overlap.

“Overall, online filing will be a good thing for charities,” she said. “It’s just about this transition period, the implementation needed… The time scale is quite short.”

The Institute is now getting in touch with its organisational members to warn them of the coming changes and gauge the preparedness of charities.

The spokeswoman said the system was likely to impact on different organisations in different ways. For many, the new scheme will be a benefit. However, for many the new scheme will require updating or altering their databases, which could involve un-budgeted for costs and delays, should CRM providers be inundated with new update requests. For charities with bespoke CRM systems, it is likely that they will have to take on a developer to make the changes. 

Comments

[Cancel] | Reply to:

Close »

Community Standards

The civilsociety.co.uk community and comments board is intended as a platform for informed and civilised debate.

We hope to encourage a broad range of views, however, there are standards that we expect commentators to uphold. We reserve the right to delete or amend any comments that do not adhere to these standards.

We welcome:

  • Robust but respectful debate
  • Strongly held opinions
  • Intelligent relevant discussion
  • The sharing of relevant experiences
  • New participants

We will not publish:

  • Rude, threatening, offensive, obscene or abusive language, or links to such material
  • Links to commercial organisations or spam postings. The comments board is not an advertising platform
  • The posting of contact details for yourself or others
  • Comments intended for malicious purpose or mindless abuse
  • Comments purporting to be from another person or organisation under false pretences
  • Gratuitous criticism, commentary or self-promotion
  • Any material which breaches copyright or privacy laws, or could be considered libellous
  • The use of the comments board for the pursuit or extension of personal disputes

Be aware:

  • Views expressed on the comments board are left at users’ discretion and are in no way views held or supported by Civil Society Media
  • Comments left by others may not be accurate, do not rely on them as fact
  • You may be misunderstood - sarcasm and humour can easily be taken out of context, try to be clear

Please:

  • Enjoy the opportunity to express your opinion and respect the right of others to express theirs
  • Confine your remarks to issues rather than personalities

Together we can keep our community a polite, respectful and intelligent platform for discussion.

Free eNews

CAN and Senscot part ways with UnLtd over its vision for a 'private-profit social sector'

18 Sep 2014

Social enterprise support organisations CAN and Senscot have ended their relationship with UnLtd, set...

Governance code 'no longer fit' for large charities, says CFG trustee

17 Sep 2014

The sector’s code of good governance is no longer fit for purpose for large and complex charities and...

Ring-fencing public service contracts for charities is a bad idea, NPC tells Labour

16 Sep 2014

NPC has warned that introducing charity-only contracts is the “wrong approach to take”, in its response...

Some charity leaders see themselves as ‘employees of government’

18 Sep 2014

Voluntary bodies and the state have become so intertwined that some charity leaders whose organisations...

Charity Commission launches inquiry into Worldwide Ummah Aid

18 Sep 2014

The Charity Commission has opened a statutory inquiry into Worldwide Ummah Aid after concerns that a trustee...

CAN and Senscot part ways with UnLtd over its vision for a 'private-profit social sector'

18 Sep 2014

Social enterprise support organisations CAN and Senscot have ended their relationship with UnLtd, set...

JustGiving page for Manchester Dogs’ Home receives four donations a second

15 Sep 2014

JustGiving has said that donations going to an appeal for the Manchester Dogs’ Home following an arson...

Commission's new online charity search to launch soon after delay

15 Sep 2014

The Charity Commission’s searchable online register of charities is due to launch in beta this autumn,...

Charities warned that digital campaigns can be 'counterproductive'

9 Sep 2014

Charity digital campaigns can be counterproductive and will need to change to keep the attention of those...

Join the discussion

Twitter button

@CSFundraising