Gift aid is a donation that enables people to give money to charities and other various causes and reclaim tax on their donation. If the person pays a higher rate of tax, then you maybe able to claim for a further tax relief on your gifts.

The gift aid scheme was revised in April 2000 and it was revised to help improve the amount of money that was being donated by the general public to charities.

People who wish to donate can use gift aid software to help them complete an application along with a declaration to state that they are bound and subject to the tax laws within the United Kingdom. The application will then ensure that any cash donations that are made are given after the deduction of tax. The charities that receive the donations are then able to reclaim the tax taken from the donation given.

Using gift aid software will help maximise the donations and is extremely beneficial for when the tax rate changes, as it is expected that the tax rate will reduce donations by as much as £70 million.

A wide range of gift aid software is available on the market and has been designed to assist and help charities deal with their donations and their claims. All the gift aid software packages are aimed at small sized and medium sized charities, as more often than not larger charities and organisations already an accounting system in place to deal with donations.

Gift aid software can help charities store vital forms and information and manage their accounts, which will help to avoid any lost files and declarations.

If a charity does not have reliable gift aid software system in place, then they may be subject to HMRC audit, which could have financial implications, especially if accurate records cannot be found.

If you are a charity or organisation that requires reliable gift aid software, then here at Data Developments, we will certainly be able to assist you in finding the right software package to meet your requirements.