GIVING TO St JAMES'S CHURCH
REGULAR PAYMENTS THROUGH GIFT AID
More money needed if St James is to survive click HERE to see
How does Gift Aid work?
Gift Aid is an arrangement that you can make with the Church (or any charity)
so that tax can be recovered at the basic rate on your donations. This increases
the value of your donation by more than a quarter. At the current basic rate
of tax of 22 per cent every £1 becomes £1.28, so long as you are
a UK taxpayer.
Note: If you pay tax at the higher rate (40 per cent) the Church can only
recover tax at the basic rate. However, you can claim the higher rate relief
by entering the details on your tax return. You could, if you wish, use this
reclaimed tax to increase your donation (by 23p per £) at no extra cost
to you.
If you pay no tax, pay insufficient tax to cover the donation or pay tax
outside the UK, there is no advantage in giving under the Gift Aid scheme.
How do I start regular giving under Gift Aid?
You need to do two things. The first is to fill in a once-only Declaration to say that you pay enough tax to cover the donations and that you want the Church to recover the tax. The second is to complete a Banker's Order. Unlike with the old Deeds of Covenant, you now have complete flexibility as to how many payments you make, at what level (there is no minimum or maximum) and over what period. In the interests of cash flow the Church would welcome monthly or quarterly payments if this suits you.
Both the Gift Aid Declaration and Banker's Order Forms are available from
Claire Granger, Stewardship Treasurer, Tel 01423 771382.
The level of your Gift Aid contributions will remain confidential, except
to the Stewardship Treasurer and Treasurers who are involved in processing
payments.
What happens to my existing Deed of Covenant, if I have one?
Your existing Deed of Covenant will run its course and will secure for the Church the same tax benefits as apply under the Gift Aid scheme. Any donations made outside the terms of your existing Deed will require a Gift Aid Declaration. When your Deed of Covenant expires the Stewardship Treasurer will be in touch to invite you to renew your giving under Gift Aid.
ENVELOPE GIVING
Why have an Envelope Scheme?
Having the Envelope Scheme for collections in church enables us to reclaim the tax benefit on all contributions to the plate made by this method. The tax benefits are exactly the same as under all other forms of Gift Aid giving. You may wish to use the Envelope Scheme for all your giving or, even with Bankers Order or Payroll giving, you may wish to give additional contributions "on the plate".
How will it work?
If you want to give by this method, please complete a Gift Aid Declaration which can be obtained from Claire Granger, Stewardship Treasurer, Midsummer House, Reynard Crag Lane, Birstwith, Harrogate Tel 01423 771382. or from a Warden. You will be given an ID number. The ID number will enable us to keep track of your donations and ensure that the tax is reclaimed.
Envelope are available at the rear of Church. There is room on the envelopes for a simple declaration that can be made by visitors and which could be used by a person waiting for their ID to be issued.
PAYROLL GIVING
What is the Payroll Giving Scheme?
Under the Payroll Giving Scheme, employees can authorise their employer to deduct charitable donations from their pay before calculating income tax under PAYE (Pay As You Earn). If as an employee you give under this scheme, you automatically get full tax relief.
The £1,200 ceiling that used to apply to Payroll Giving was abolished on 6 April, 2000. There is now no limit to the amount that you can give under this scheme. In addition, as part of its campaign to promote payroll giving, the Government will pay a 10 per cent supplement on all donations made under the scheme between 6 April 2000 and 5 April 2003. Payroll Giving schemes are operated by charity agencies (such as CAF) approved by the Inland Revenue. The agencies levy a 4 per cent charge for operating the scheme.
The sums work as follows. If you give through Payroll Giving you make your gift gross and your tax bill is reduced by tax at your highest rate. If you give £128.21 the cost will be £100 to you at the basic rate of 22 per cent and only £76.93 if you are a higher rate (40 per cent) taxpayer. The Church will receive £123.08 because £5.13 (4 per cent) is retained by the agency operating the scheme. The Government will increase the gross value with the special 10 per cent supplement - a further £12.82. Thus, if you are a higher rate taxpayer, you will have given £76.93 after tax and the Church will receive £135.90.
How do I start Payroll Giving?
All you have to do is to contact your employer to obtain a Payroll Giving form and complete it. In addition to the amount of your gift you will need to fill in the name of the charity ( St James's Church. Birstwith). Please send a photocopy of your form to Claire Granger, Stewardship Treasurer, Midsummer House, Reynard Crag Lane, Birstwith, Harrogate so that we can keep track of gifts made through this method.
WHAT ABOUT NORMAL CONTRIBUTIONS?
We realise that these tax saving schemes will not suit everybody. Cash donations on the plate will always be more than welcome!