Income Tax Act 2007

[F1 809ZN Income tax charge where gift aid is withdrawn U.K.

(1) Income tax is charged under this section if—

(a) a person makes a [F2 relievable charity donation] in a tax year,

[F3 (aa) the donation becomes a tainted donation (whether in that tax year or a later tax year),]

(b) (ignoring this Chapter) relief would have been available under Chapter 2 of Part 8 in respect of the tainted donation or an associated donation (“the gift aid donation”), and

(c) the charity to which the gift aid donation is made is entitled to claim a repayment of tax in respect of that donation.

(2) The amount of the tax charged under this section is equal to the amount of the repayment of tax which the charity is entitled to claim in respect of the gift aid donation (whether or not such a claim is made).

[F4 (2A) Tax charged under this section is charged for the tax year in which the donation mentioned in subsection (1)(a) becomes a tainted donation.]

(3) Each of the persons mentioned in subsection (4) is liable for any tax charged under this section, and the liability of those persons is joint and several.

(4) The persons are—

(a) the donor in respect of the gift aid donation,

(b) if different, the donor in respect of the tainted donation,

[F5 (c) each linked person (as defined in section 809ZJ(3)) by reference to whom Condition B in section 809ZJ(5) is met in relation to the tainted donation,]

(d) any charity to which the gift aid donation or (if different) the tainted donation is made, or any connected charity, which falls within subsection (5).

(5) A charity falls within this subsection if the charity—

(a) is or was party to [F6 the arrangements by reference to which Conditions A and B in section 809ZJ are met in relation to] the tainted donation, and

[F7 (b) was aware or ought reasonably to have been aware, at the time it entered into those arrangements, that Condition B in section 809ZJ was or would be met by reference to the arrangements.]

(6) No liability to income tax arises under this section in respect of a repayment of tax, if (and to the extent that) the repayment is itself repaid to the Commissioners for Her Majesty's Revenue and Customs under any other provision of the Tax Acts.

(7) In this section—

• “associated donation” has the same meaning as in section [F8 809ZMB];

• “linked person” has the same meaning as in section 809ZJ;

• F9 ...]

Textual Amendments

F1 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

F2 Words in s. 809ZN(1)(a) substituted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 9(2)(a)

F3 S. 809ZN(1)(aa) inserted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 9(2)(b)

F4 S. 809ZN(2A) inserted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 9(3)

F5 S. 809ZN(4)(c) substituted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 9(4)

F6 Words in s. 809ZN(5)(a) substituted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 9(5)(a)

F7 S. 809ZN(5)(b) substituted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 9(5)(b)

F8 Word in s. 809ZN(7) substituted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 9(6)(a)

F9 Words in s. 809ZN(7) omitted (with effect in accordance with s. 56(8) of the amending Act) by virtue of Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 9(6)(b)