There is a simple answer to this tax dispute about charities

Posted on

My answer to the current tax dispute is very simple.

I am happy for anyone to give an unlimited sum to charity.

Let's be clear though - I see no reason why they should have higher rate tax relief on those gifts which gives nothing at all to the charity as a result. Remember - all the higher rate relief goes to the donor.

And at the same time I argue that all charities should have the right to reclaim basic rate tax on all donations arising in the UK without the rigmarole of gift aid tax relief - resulting in a massive simplification in their tax and admin affairs.

Now why can't we do that?