UK charities lost out on more than £691 million in 2004, according to the latest research from IFA Promotion, through those giving to good causes not doing so tax efficiently.
This is £332 million more than the amount lost in the previous year. The figures showed that 48.8 million people in Britain gave more than £8 billion to charity in 2004, but the £691 million could have been recouped if donors had made use of tax allowances.
Our view
This is a fault of the system and not Charities or the public. A simple change in law would mean that all income to Charities got the tax relief that they are entitled to rather than the Charity having to actually obtain your details and authority to do so.
Perhaps the Government does not want Charities to get all donations with tax relief?