Glossary · UK
What is Gift Aid Small Donations Scheme?
A scheme letting charities claim a Gift Aid-style top-up on small cash and contactless donations without collecting individual Gift Aid declarations.
Full Definition
The Gift Aid Small Donations Scheme (GASDS) lets eligible charities and Community Amateur Sports Clubs claim a Gift Aid-style top-up payment from HMRC on small cash and contactless donations where collecting a formal Gift Aid declaration would be impractical - for example loose cash in a collection tin or contactless tap donations. The top-up is calculated at the basic-rate equivalent, so the charity receives an additional 25p for each GBP 1 donated, mirroring standard Gift Aid. There is an annual cap on the donations that can be claimed under the scheme, and a charity's GASDS allowance is generally linked to how much it claims under ordinary Gift Aid in the same year (the matching rule). Donations must fall within the per-donation small-amount limit set by HMRC. GASDS matters because it helps smaller charities recover value on hard-to-document gifts. Check current limits and eligibility on gov.uk before claiming.