 |
Its not only the usual things children need |
Provision of extra curricular for an ADHD sufferer
Assisting in the purchase of a wheelchair for a spina bifida sufferer
Providing parents with travel costs to enable them to visit their child in a hospital miles from their home |
|
|
|
|
|
Legacy
|
Provide by leaving a gift in your Will today.
Many people may intend to, but they never get round to it, and yet legacies are one of the easiest and cost-effective ways of giving to a charity. Leaving a legacy to Children In Need enables you to plan your giving.
It also reduces the value of your estate for inheritance tax purposes.
How does it work? In your will, just name Children In need (Charity No. 287866) and state the amount you want to give. It's as simple as that. |
|
Salaries |
Otherwise known as "payroll giving" this is the easiest and simplest method for regular giving and for making one-off donations when receiving a company bonus.
Decide how much you wish to give and then notify your employer of the name of the charity which you wish to benefit (i.e. Children In need), our registered charity number (i.e. 287866) and the size of your monthly donation.
This donation is then deducted from your gross monthly salary and for tax purposes you will be deemed to have received a smaller income. If you decide to donate £100 per month, it means that if you are a basic rate taxpayer you will pay£20 less tax per month while a higher rate taxpayer will benefit to the tune of £40.
This brings down the actual cost of the donation to £80 and £60 respectively.
There is one further benefit to be gained from payroll giving.
Companies with fewer than 500 employees who implement payroll giving schemes can qualify for a government grant. (Finance Act 2004). This grant will be available for 2 years. |
|
| Shares |
This can be the most tax efficient method of giving to a charity. Take the following situation: you own 1,000 shares in ABC Corp which you bought at a total cost of £1,000. The shares have appreciated in value to £10,000 and you have already used up your £10,100 Capital Gains Tax allowance for the year. Simply transfer the shares to Children In Need and not only will you not have to pay tax on the £9,000 capital gain but you can also deduct the total value of the shares (at the date of transfer) from your gross income for the year.
Relief will be given against your income, but not capital gains
.
In the example above the net cost of this £10,000 donation to a higher rate taxpayer is only £4,380. This calculation is made by adding the saving of £1,620 potential capital gains tax to the £4,000 income tax saved by deducting the market value of the shares (£10,000) from your gross income and subtracting this sum of £5,260 again from the market value of the shares.
To be able to effect such a transaction any donor will have to instruct his stockbroker to transfer the shares to a Children In need brokerage account. |
|
