Answers · UK 2025/26
How does Gift Aid work for higher-rate taxpayers?
Higher-rate taxpayers can reclaim an additional 20% of Gift Aid donations through Self Assessment (on top of the basic-rate reclaim the charity already receives). So a £100 donation costs a higher-rate taxpayer just £75 — the charity gets £125 and the donor reclaims £25.
Full answer
Gift Aid allows UK charities to reclaim basic-rate Income Tax (20%) on donations from taxpayers who have paid at least that much tax in the year. For higher- and additional-rate taxpayers, there is a further personal reclaim available. **How the numbers work:** When you make a Gift Aid donation of £100: 1. The charity reclaims 20% tax from HMRC: £100 × 20/80 = £25 — the charity receives £125 gross. 2. As a higher-rate (40%) taxpayer, you can reclaim the difference between your rate (40%) and the basic rate (20%) on the *grossed-up* donation: - Grossed-up amount: £125 - Reclaim: £125 × 20% = £25 - Your net cost: £100 − £25 = **£75** For an **additional-rate (45%)** taxpayer the personal reclaim is 25% of the grossed-up amount: - £125 × 25% = £31.25; net cost = **£68.75** **How to claim:** Include Gift Aid donations on your Self Assessment tax return (SA100, box for "Gift Aid payments made in the year"). You can also claim by writing to HMRC or completing a P810 form if you don't normally file a return but are entitled to the relief. **Backdating:** You can ask HMRC to treat 2026/27 Gift Aid donations as if made in 2025/26, provided you make the donation before you file your 2025/26 self assessment (31 January 2027 deadline). **4-year rule:** Claims can be backdated up to 4 tax years. If you've been making Gift Aid donations but not claiming higher-rate relief, you could be owed a refund going back to 2022/23.
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This answer is informational only and does not constitute financial, tax or legal advice. Figures are for the 2025/26 UK tax year. See our methodology and sources.