Part 13

Tax avoidance
CHAPTER 8

Tainted charity donations

Introduction

Relievable charity donations
809ZI
1
In this Chapter “
relievable charity donation
” means a gift or other disposal which—
a
is made by a person to a charity, and
b
is eligible for tax relief.
2
A gift or other disposal is eligible for tax relief if one or both of the following apply—
a
(ignoring the tainted donation provisions) tax relief would be available in respect of it under a relevant relieving provision;
b
the charity is entitled to claim a repayment of tax in respect of it.
3
“The tainted donation provisions” are—
a
this Chapter,
b
section 257A of
TCGA
1992 (tainted charity donations: disapplication of section 257), and
c
Part 21C of CTA 2010 (tainted charity donations: removal of corporation tax reliefs).
4
The following are “relevant relieving provisions”—
a
section 257 of
TCGA
1992 (gifts of chargeable assets),
b
section 63(2)(a), (aa) and (ab) of
CAA
2001 (gifts of plant and machinery),
c
Part 12 of
ITEPA
2003 (payroll giving),
d
section 108 of
ITTOIA
2005 (gifts of trading stock),
e
Chapters 2 and 3 of Part 8 of this Act (gift aid and gifts of shares),
f
section 105 of CTA 2009 (gifts of trading stock), and
g
Part 6 of CTA 2010 (charitable donations relief).
5
For the purposes of this Chapter, an amount of income which arises under a
UK
settlement and to which a charity is entitled under the terms of the settlement is to be regarded as an amount gifted to the charity by the trustees of the settlement.
“
UK
settlement
” has the same meaning as in section 628 of
ITTOIA
2005.
Pt. 13 Ch. 8 inserted (19.7.2011) (with effect in accordance with Sch. 3 para. 27 28 of the amending Act) by Finance Act 2011 (c. 11), Sch. 3 para. 1