Giving to the cathedral parish
The Cathedral Parish depends on the generosity of individuals for the major part of its income. The most visible demonstration of this giving is cash put in 'the plate' at Sunday Mass as part of the offertory collection. However without any Gift Aid declaration we do not receive any tax (worth 25% of the amount donated) back on this. Other more effective ways of regular or one-off giving are summarized below.
How to give
1 offertory giving by monthly standing order
This is our most welcome form of giving if you can manage it. It provides a steady and predictable income, allowing forward planning, and if you are a taxpayer it can easily be made tax efficient by the Gift Aid process.
To give by standing order just print off and complete the form provided at the end of this page, alongside the Gift Aid declaration if you are a taxpayer and send them to the address given or drop them into Cathedral House. Alternatively you can pick up a pack provided at the back of the Cathedral, complete the form and drop it in.
Thereafter, until you stop or amend it, the amount specified by you will be transferred monthly to the Cathedral and the Cathedral will be able to reclaim tax worth 25% of the amount donated per year.
2 offertory giving by numbered envelopes
If you cannot give by standing order or prefer the flexibility of giving each week, then giving by numbered envelope, to allow Gift Aiding, will also be a tax efficient method for taxpayers.
Just print off the form provided and as in 1 above, complete and return to Cathedral House. We will get in touch with you to provide you with the numbered envelopes. Then each week you can enclose your gift in a numbered envelope and put it in the plate. Amounts donated are recorded by number, keeping the gifts anonymous but allowing, for anyone who can complete a Gift Aid declaration, a claim for a tax refund to be made.
3 offertory giving in cash
If you do not give by standing order and are not a taxpayer, then gifts by cash or cheque are most welcome.
4 one-off donations, e.g for specific purposes
Outside of regular offertory giving, you may wish from time to time to make a specific donation, perhaps in response to a particular appeal. If you have already made a Gift Aid declaration, or make one for this specific purpose, then we can also reclaim tax on this donation. There are envelopes provided at the back of the Cathedral for this purpose, as we need to tie up the gift with your name in order to reclaim the tax.
Remembering the Cathedral in your Will may one day provide a valuable help to the Cathedral. It may also be tax effective since a gift to charity reduces the value of an estate for inheritance tax purposes.
6 donating tax returns
If you complete a tax return and are due a refund you can ask HMRC to treat all or part of it as a Gift Aid donation to the Cathedral - see HMRC website below for details. And please do check what the amount of the tax refund will be before donating.
Gift Aid increases the value of donations by allowing the Cathedral to reclaim basic rate tax on your gift. For example if you have received £100 of income taxed at the marginal rate of 20% you have net income of £80. If you donate and Gift Aid the £80, the Cathedral can reclaim tax of £20, which is 25% of the £80 donated.
Does gift aid benefit the taxpayer?
Well if you pay higher rate tax you can also claim extra relief on your donations so you need to keep a note of Gift Aid payments each year and report them in your self assessment tax return.
If you claim age-related allowances or tax credits, Gift Aid donations can sometimes increase your entitlement.
Discussion of these matters is beyond the scope of this (article). However if you want to know more about these topics, or Gift Aid giving in general, it is best to refer to the detailed guidance provided by HMRC by following this link http://www.hmrc.gov.uk/individuals/giving/index.htm