Market leading insight for tax experts
View online issue

U-turn announced on charity relief cap

In the March Budget the Chancellor drew gasps from the charity sector by saying that all currently uncapped income tax reliefs would be capped at 25% of an individual’s ‘income’ (the exact definition of which is yet to be confirmed) or £50 000 whichever is greater.

The cap was intended to apply to all existing reliefs that are not otherwise restricted and would take effect from April 2013.

For example income tax relief on pension contributions would not be affected by the new measures as these are already limited by the annual allowance but it would catch those generous souls who choose to give substantial amounts to charity each year.

Higher and additional rate taxpayers can claim further tax relief...

If you or your firm subscribes to Taxjournal.com, please click the login box below:

If you do not subscribe but are a registered user, please enter your details in the following boxes:

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this article in full.
Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.
EDITOR'S PICKstar
Top