Can MyCo Ltd give a modest sum to charity, just like that, straight off the top with no tax liability for it?
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I believe so. But does it make any difference if your company does it or you do?Down with racism. Long live miscegenation! -
Originally posted by NotAllThere View PostI believe so. But does it make any difference if your company does it or you do?Comment
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Originally posted by expat View PostYes it does: I am in effect giving the tax and NI (including employer's) to the charity as well.If your company is the best place to work in, for a mere £500 p/d, you can advertise here.Comment
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My company sponsored my wife in her race for life charity run. I just wrote out a company cheque and the accountant was fine with it.Comment
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Originally posted by pmeswani View PostI have been thinking about doing something similar myself... but didn't know about the tax advantages of doing so. I don't suppose you have any web references to back up the tax & NI benefits?
1. something allowable that the company did, so that money is not counted in profit or in salary.
or
2. something permissible but it still forms part of the Company profit, therefore liable to CT.
or
3. something I personally would be considered to have done, i.e. that money will be taken as having been a net salary payment, therefore income tax and NICs will have to be back-calculated on it.
As I say, I don't know, that's why I am asking. It is arithmetically self-evident that if #1 is the case, then I can give more to the charity for a given cost to me.Last edited by expat; 27 January 2009, 09:24.Comment
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Originally posted by FiveTimes View PostMy company sponsored my wife in her race for life charity run. I just wrote out a company cheque and the accountant was fine with it.Comment
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If you pay personally, charities can normally claim back Gift Aid from the government which works out as around 30% on top of what you give... essentially they are claiming back all the tax that was paid on this in the first place.Originally posted by MaryPoppinsI'd still not breastfeed a naziOriginally posted by vetranUrine is quite nourishingComment
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Originally posted by d000hg View PostIf you pay personally, charities can normally claim back Gift Aid from the government which works out as around 30% on top of what you give... essentially they are claiming back all the tax that was paid on this in the first place.Comment
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Originally posted by expat View PostNo, that is exactly my question. If I just send a cheque from the Company bank account, is that taken to be:
1. something allowable that the company did, so that money is not counted in profit or in salary.
or
2. something permissible but it still forms part of the Company profit, therefore liable to CT.
or
3. something I personally would be considered to have done, i.e. that money will be taken as having been a net salary payment, therefore income tax and NICs will have to be back-calculated on it.
As I say, I don't know, that's why I am asking. It is arithmetically self-evident that if #1 is the case, then I can give more to the charity for a given cost to me.If your company is the best place to work in, for a mere £500 p/d, you can advertise here.Comment
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