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Charities working smarter – a postscript

A further simple and powerful reason for charities chasing down possible tax refunds on their donations (refer prior blog) has now been noted by myself. This is that while the latest Budget and Finance Bill confirms the reduction of basic rate tax from 22% to 20%, and thus potentially the value per Donor’s £ with tax refund would have reduced from £1.28 to £1.25, the Chancellor has  extended the 22% rate benefit for another three years till April 2011, to charities. One estimate was the reduction would cost charities £90 million per year and this was based on current levels of tax refunds! Charities who leave money like this “on the table” must be guilty of failing on their key fund raising objectives? It will be interesting to see how they approach the area (if at all) over future months in differentiating themselves. 

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