Gifts to charity
Monday 11th July 2016
Did you know that if you leave 10% (or more) of your estate to charity, you can reduce the amount of inheritance tax payable on the rest of your estate?
Not only is the amount you give to charity exempt from tax, but if you give at least 10% of your estate to charity the rate of tax charged on the rest of your estate is reduced by 10% to 36%. In some cases this means that you can increase the gifts you leave to charity at no cost to the other beneficiaries, so everyone wins (apart from the tax man).
However, the rules for calculating 10% of your estate are not as simple as you might think, and not all charities qualify, so it is important to take advice from an expert.
At Gordons we can advise you on how to make the most of the gifts you make to your preferred charitable causes, including income tax and capital gains tax reliefs as well as inheritance tax.
Click here to read the related article on Civil Society.