Taxation Advice
Non-Profit Tax Filing
Here at Hartley Fowler, we are proud to offer a range of specialist charity taxation services for the not-for-profit (NFP) sector.
In acknowledgement of the differing accounting requirements of charities and NFP organisations, we have a team of experts who specifically provide non-profit tax services.
A Leading Tax Accountant for Non-Profit and Charities
Our expert team has a wealth of knowledge about charity tax laws and truly understands the sector. We can harness this to ensure that your organisation is fully compliant and optimally structured for maximum efficiency. Our charity tax services include:
- Advising on your organisation’s taxable status
- Ensuring compliance with current charity tax laws
- Advising on relevant tax reliefs and exemptions
- Providing efficient non-profit tax filing
Next Steps: Discuss our non-profit tax services
If you have any further questions about our specialist charity taxation services, and how we can help you, please contact us today. Alternatively, please call and book your free initial consultation with one of our non-profit tax experts.
FAQs
Charities and not-for-profit organisations benefit from certain tax exemptions and reliefs, but they may still need to consider certain types of taxes depending on their activities. These include corporation tax and VAT.
Charities in the UK generally do not pay income tax, provided they meet certain criteria and their activities align with charitable purposes.
Yes, not-for-profit organisations (NFPs) are generally required to file tax returns, although specific rules and exemptions apply, depending on the organisation’s activities and income.
To ensure compliance with UK tax regulations, charities should:
– Register with the Charity Commission if your annual income exceeds £5,000.
– Claim tax reliefs such as Gift Aid and VAT exemptions.
– Keep accurate financial records
– Comply with HMRC
– Handle employment taxes such as PAYE and National Insurance for staff
– Stay updated on regulatory changes
– Seek professional advice when necessary.
The tax implications of fundraising activities for charities include:
– Gift Aid: Charities can claim an extra 25% on donations from UK taxpayers.
– VAT: Some fundraising events are exempt from VAT, however, this depends on the type of event and goods sold.
– Trading Income: Non-primary purpose trading may be subject to corporation tax. If the trading is significant, consider setting up a trading subsidiary.
– Raffles & Lotteries: These are subject to gambling regulations and specific tax rules.
Charities generally cannot claim VAT credits on most of their purchases because they are usually exempt from VAT registration. However, they may benefit from VAT reliefs on certain goods and services, such as medical equipment, advertising and building works for charitable purposes.
The documentation required for tax deductions related to donations varies depending on the type of donation and method used to donate.