How to Give Tax Efficiently

• Payroll Giving

  UK taxpayers who are paid under PAYE (Pay As You Earn) can maximise regular donations to the Academy through payroll giving. Gifts made through this scheme are taken directly from the gross pay, giving the benefactor immediate tax relief at the highest rate of tax for which they qualify.

  If you are a UK taxpayer and are interested in this method of giving, please request an application form from your employer, detailing your wishes to donate to the Governors of Dollar Academy Trust. The employer will then deduct a gift directly from your salary before tax is applied.

  You could take advantage of payroll giving schemes at your workplace. Eligible donations are made after National Insurance but before Income Tax, reducing the cost to you of your donation.

• Giving stocks and shares

  Share giving is the most generous tax relief available to donors, combining relief on income and capital gains tax. In the UK, share gifts qualify for tax relief equal to the market value of the shares on the day the gift is made, including associated costs such as broker fees. The tax relief can be claimed for the year in which the gift is made.

  For example, a gift to Dollar Academy of £1,000 worth of shares, made by an individual who is a higher rate taxpayer, would reduce their income tax by up to £500 for the year. Additionally, the benefactor would not have to pay any Capital Gains Tax (CGT) on any increase in the value of the shares since they were bought. If the shares have gone down in value, however, it is not possible to use this loss to offset any other CGT liabilities.

  Donors wishing to give shares to the school can complete and mail us the UK share giving form.

• Legacies and reducing Inheritance Tax

  Gifts to charity are exempt from Inheritance Tax (IHT) in the UK, and the government provides a further incentive when you leave 10 per cent or more of your net estate to charity.

  By leaving 10% or more of your estate to charity you can reduce the amount of Inheritance Tax you pay from 40% to 36%. More information can be found in our Legacy Giving section.

• Capital Gains Tax

  You do not have to pay Capital Gains Tax on land, property or shares you give to charity. However, you may have to pay if you sell them to a charity for more than they cost you, but less than their market value.

  In all cases, we recommend speaking to an independent financial advisor who can guide you depending on your individual circumstances.

  We can also accept tax-efficient giving from USA via the British Schools and Universities Foundation (BSUF).

• Fundraising Guarantee

  Our supporters are at the heart of the work undertaken by the school’s Development Office.

  Fundraising is the life blood of charities. We could not fulfil our charitable mission without the support of generous and committed donors. We value your support and understand the need to balance our duties to our young people with our responsibilities to donors.

  We are committed to good fundraising practice. We operate in an open and honest manner, so you can feel comfortable when communicating with, or donating to, Dollar Academy, and are able to trust that we protect your data and use your generous gifts wisely.

  Our fundraising guarantee to you:

  We will comply with the law as it applies to charities and fundraising and we commit that we will guarantee to adhere to best practice as outlined in the Fundraising Code of Practice. We will monitor fundraisers, volunteers and third parties working with us to raise funds, ensuring that they also comply with this Code of Practice.

  We guarantee to operate in line with the values of the Code; to be Legal, Open, Honest and Respectful in all our fundraising. To promote and underpin these values, we commit to the following standards:

  We will be clear about who we are and what we do

  We will give a clear explanation of how you can make a gift and change or stop a regular donation

  If you do not want to give or wish to cease giving, we will respect your decision

  We will respect your rights and privacy

  We will hold your data securely

  We will communicate with you in accordance with your selected preferences.