Gifts of money made to St Edmund’s by your company are deductible from the total profits of your business when calculating Corporation Tax.
Companies pay their donations GROSS – before tax is deducted – and will not have to make any Gift Aid declaration.
The company simply makes whatever donation you want to give and then tax relief is claimed against the value of the gift when calculating profits for Corporation Tax.
Company gifts can be made on a regular or one-off basis.
As an example: at current tax rates the NET cost to the company of a gift of £10,000 to St Edmund’s would be £8,000 at the Small Profits rate and £7,600 at the Standard rate.
If you run your own company you may find this method of giving particularly cost-effective.