Tax-Efficient Ways of Giving There are a number of ways that you can make a donation tax-efficiently. Tax relief can be of considerable benefit both to us (through the charitable status of Stowe House Preservation Trust and Stowe School Foundation), and you, the donor:
Making a personal cash gift or pledge You can either make a one-off gift or make contributions over time. In both cases, if you are a UK tax-payer, Stowe can reclaim £2.82 for every £10 that you give, through the Gift Aid scheme. In addition, if you are a higher-rate tax payer, you can reclaim £2.31 on every £10 you donate, simply by entering the details on your tax return. So, for example:
Single Gift
Gift
Net Cost to Donor
Gross Value to Stowe
£250
£192
£321
£1,000
£769
£1,282
£10,000
£7,690
£12,820
Multiple Gifts
Gift
Frequency
Duration
Net Cost to you
Gross Value to Stowe
£10
per month
3 years
£7.69 p.m. /
£277 over 3 yrs
£12.82 p.m. /
£462 over 3 yrs
£20
per month
7 years
£15.38 p.m. /
£1,292 over 7 yrs
£25.64 p.m. /
£2,153 over 7 yrs
Making a Corporate Gift Companies can claim corporation tax relief in their tax returns on all donations made to charities.
Legacies The making of a bequest in your will can be a remarkably tax efficient and effective way of making a gift to Stowe. The Roxburgh Society is created for all those who have left, or intend to leave, such a legacy. It is a growing society, and we are thrilled to welcome new members. All bequests to Stowe School Foundation and / or Stowe House Preservation Trust are exempt from Inheritance Tax (40% at April 2006).
Stocks and Shares It is now possible for donors, both individual and corporate, to gain significant additional tax benefits through donating shares to Stowe. Not only is the Capital Gains Tax on the increase in value of shares avoided, but also the donor can offset income tax liability by the size of the gift. So, for example, if you were to sell £10,000 worth of shares you had bought for £5,000, you would have been liable for £2,000 in CGT. By donating the shares to Stowe, you would not to have to pay this amount. Furthermore, you would be able to claim tax relief of £4,000 (40% of the total value of the gift as a higher-rate tax-payer). For donors with a significant capital gains exposure, this is clearly an extremely tax-efficient way of giving.
