Payments of Gift Aid and transitional relief on Justgiving
**Update 4th September**
Due to our infrastructure move being delayed a week, we will now start paying Transitional Relief from Friday 12th September, not on the 5th as previously communicated.
**Update 4th September**
Back in March, we announced how changes to Gift Aid in this year's budget would affect donations made on Justgiving.
You'll of course remember (who could forget!) that the change in income tax from 22% to 20% meant that Gift Aid was due to go down to 25% per donation, but the Treasury added 'transitional relief' of 3.2% to ensure that Gift Aid stayed at the same level of 28.2% for the next three years - read the original post for the super-complicated ins and outs.
As you may have read this week, HMRC are now starting to make payments of Gift Aid including this transitional relief. This means we'll be paying Gift Aid and transitional relief to charities very soon in our position as Gift Aid agents for the 4,000+ charities who collect donations on Justgiving (we're classed as *agents*, but our finance guru Ryan doesn't, alas, get a special codename to show for it).
There will also be payments of transitional relief only (that lovely 3.2% bonus) for the period from the 6th April to the end of August where we reclaimed Gift Aid at the rate of 25%.
When are Justgiving making the first Gift Aid and transitional relief payments?
We have set a date for Friday 5th September to make the first of these payments.
Why then? Well, our systems team are in the middle of another project to improve the nuts and bolts of the site (it's quite exciting and you'll be able to read more on that here later this month) so that's the earliest we can make the required changes to reporting.
We'll still be making Gift Aid payments at the 25% rate up to then, but that is the first time we'll be making payments of Gift Aid and/or transitional relief.
You could call it *transitional relief Friday*. But that's not very catchy.
Will Gift Aid payment reports change?
Yes, to accommodate transitional relief we do have to change Gift Aid payment reports ever so slightly (don't worry, this does not affect normal donation payment reports). We're renaming one column and adding two new columns:
The previous 'Gross Gift Aid payable' column now becomes 'Gross Gift Aid and Transitional Relief payable' and we add in new 'Gross Gift Aid Payable' and 'Gross Transitional Relief Payable' columns.
See how this compares with the old report in the file below:
Download new_gift_aid_payment_report_example.xls
Of course, you'll also need to download a new version of our Gift Aid payment report manager because of the new columns and column name:
Download justgiving_gift_aid_payment_report_manager_august_2008.xls
Over 500 people have downloaded our report managers in just over 2 months, and they've said it's been really helpful - instructions on how to use it can be viewed online or you can download the original PowerPoint below:
Download justgiving_payment_report_manager_instructions.ppt
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