Gifts In Kind/In-Kind Donations

Donating a gift in kind can showcase your company’s products or services whilst also raising vital funds for us. Goods and services can make fantastic prizes for fundraising raffles and auctions.

Gifts in kind, also referred to as in-kind donations, is a kind of charitable giving in which, instead of giving money to buy needed goods and services, the goods and services themselves are given. Gifts in kind are distinguished from gifts of cash or stock. Examples of in-kind gifts include goods such as food, furniture, office equipment, and building materials. Performance of some kinds of services, such as building a centre, providing office space, or offering administrative support, may also be counted as in-kind gifts.

Corporate Donations/ Gifts Of Stock

Your company can give shares, donate investments that will earn dividends for us, or securities, such as bonds. There are considerable tax advantages involved with giving money or other forms of support to the charity.

Giving Shares, Land Or Property

Donate shares... Capital Gains Tax does not apply to charitable gifts of shares. On top of this, your company benefits from Income Tax relief on shares donated to the charity.

There are significant tax benefits available for donating shares to INTERIM and Capital Gains Tax does not apply to charitable gifts of shares either. On top of this, your company benefits from Income Tax relief on shares donated to the charity.

You will receive tax relief for gifts of land or buildings to INTERIM. Companies can claim corporation tax relief for gifts of recognised shares (other than those in own company), land and property made to the charity. The company can also claim relief if the gift is sold to the charity at less than the market value. 

Shares which qualify for relief are the same as those which qualify when they are given by individuals, subject to one exception - a company cannot give its own shares. HMRC have a list of recognised markets from which donated shares will be eligible for the relief.

The tax relief works in the same way as for individuals. Companies get the relief in addition to exemption from any capital gains made on gifts. Companies should deduct the amount while working out their company profits in the accounting period in which the gift is made. 

When gifts are made by self-employed people or by partners in a partnership, the deduction is calculated in the same way as for individuals. 

Sponsorship         

Sponsor an event for us!

As a company you can get a tax deduction for payments to sponsor our charitable activities if they are also made for the purpose of the company.

Sponsorship is a two-way street between us and you. INTERIM gets help with the expenses of the event; and you, the company get exposure, low-cost marketing, and good will.

Gift Aid

All you as a taxpayer have to do, is refer to the Gift Aid Explained and complete a Gift Aid Declaration Form instructing the charity to claim your tax back from HMRC (Higher rate taxpayers include details of donations in your tax return). The declaration can be completed orally or in writing and one declaration can cover a single gift or a series of donations over a specific period.

For every £1 donated by a tax payer INTERIM can claim 28p from HMRC.

Giving By Businesses

If you are self-employed and want to Gift Aid a donation the charity will handle the gift in the same way as a donation from an individual.

If the company is a partnership, a Gift Aid donation will be treated as separate donations of equal amounts from each of the individual partners, unless the partnership decides to split it in a different way.

The tax position for both the charity and donors is the same as for Gift Aid.

Unless one partner has a power under the partnership agreement to make a Gift Aid declaration on behalf of the partnership, we will need a Gift Aid declaration from each partner.

This can be done on one declaration form, provided it includes each partner's details.

The charity will benefit substantially from the expertise provided by volunteers or staff seconded from companies.

Where a company provides an employee to work or volunteer for the charity on secondment or a temporary basis, the company can continue to deduct the costs of the employment, including the employee's salary for tax purposes. This applies to sole traders, trading partnerships and companies with a trading or investment business. 

Payroll Giving is a scheme that enables employees to give to the charity straight from their gross salary before tax is deducted, and to receive immediate tax relief of up to £5 for every £10 donated. The costs of setting up a scheme and the modest ongoing costs of running a scheme are deductible for tax purposes.

Legacies

A legacy gift is a planned future donation to the charity, given through a will or other form of designation. Legacy gifts to the charity are completely free of Inheritance Tax. A legacy is deducted from your estate before calculating any inheritance tax that may be due. In addition, as there is no upper limit, you can be as generous as you like, safe in the knowledge that your legacy will not be taxed.

There are many different types of legacy but the two main ones are:

RESIDUARY: a proportion of your estate. For example, if you donated the remaining value of your assets after you have provided for friends and family, this would be known as residual legacy.

PECUNIARY: a specific amount of money. For example, if you wanted to donate £10,000 to INTERIM, this would be called a pecuniary legacy.

To find out more, refer to Legacy Giving Explained and/or to make a pledge to INTERIM, please fill in a Legacy Pledge Form.