§ Mr. Stephen O'BrienTo ask Mr. Chancellor of the Exchequer, how much has been contributed annually to the charitable sector (a) overall and (b) through the Gift Aid scheme, since the scheme's introduction; what these sums are as proportions of the total turnover of the charitable sector; and what the total cost is to his Department of the tax refunds resulting from the Gift Aid scheme. [79111]
§ John HealeyFigures on Gift Aid are published in the income tax section of Inland Revenue Statistics at: www.inlandrevenue.gov.uk/stats/index.htm. Consistent and reliable estimates for total donations to charities are not available centrally, nor are figures on turnover. However, a survey by NCVO/NOP estimates that the value of individual donations was £6.8 billion in 2001. In addition charities benefit from donations from companies. The Charity Commission shows that at the end of the second quarter of 2002 the annual income of registered charities in England and Wales was £28.5 billion.
§ Mr. Stephen O'BrienTo ask Mr. Chancellor of the Exchequer (1) what his estimate is of the amount of tax forgone as a result of tax allowances granted to charities in England and Wales in(a) the last financial year and (b) each of the previous six financial years; [79135]
(2) what the total amount of tax relief for charities has been since 1997; and how much was relief on (a) income tax, (b) corporation tax, (c) capital gains tax, (d) inheritance tax and (e) stamp duty. [79092]
§ John HealeyThe available estimates, which relate to the United Kingdom, for the total cost of tax forgone are about £2 billion in each of the last six financial years. This includes income tax, inheritance tax, business rates and VAT. Figures for the first two categories were published in various issues of the FSBR and in Table 1.5 of Inland Revenue Statistics at: www.inlandrevenue.gov.uk/stats/index.htm. These figures will be updated in the Tax Ready Reckoner published at the time of the Chancellor's Press Budget Report. Estimates for relief on corporation tax, capital gains tax and stamp duty are not available.
§ Mr. Stephen O'BrienTo ask the Chancellor of the Exchequer, what plans he has for the Payroll Giving scheme providing tax relief for charitable donations; and if he will make a statement. [79093]
§ John HealeyIn April 2000, the Government abolished the maximum amounts that could be given under Payroll Giving. To boost the scheme, the Government announced a three-year publicity campaign to promote the scheme to more employers and their employees and a 10 per cent. supplement on all Payroll Giving donations until April 2003. The cost of the supplement is met from public expenditure. The amount given under Payroll Giving has increased from £29 million in 1998–99 to about £73 million in 2001–02.
§ Mr, Stephen O'BrienTo ask the Chancellor of the Exchequer what assessment his Department has made of the level of charitable donations since the abolition 287W of the minimum limit on donations through the (a) Payroll Giving scheme and (b) Gift Aid scheme. [79110]
§ John HealeyIn April 2000, the Government set a target to raise the amount given through Payroll Giving to £60 million by April 2003. The total given in the year 2001–02 was around £73m. In 2001–02 nearly £450m was repaid to charities under Gift Aid. The Government looks forward to the continuing success of both schemes.
§ Mr. Stephen O'BrienTo ask the Chancellor of the Exchequer what plans he has to prevent suspended shares being given as part of the Gift Aid scheme. [79104]
§ John HealeyThe Gift Aid scheme only covers gifts of money. The relief for giving listed shares, introduced in April 2000, allows individuals and companies to deduct the market value of gifts of listed shares from their income or corporation tax calculation. Where shares are being actively traded, the value will normally be easily ascertained by reference to published prices. However, where trading is suspended, the value will be the price which might have been paid in a transaction at arm's length. Any relief would therefore reflect the suspension of trading in the shares. The shares would still, of course, be of value to the charity, when trading resumed.
§ Mr. Stephen O'BrienTo ask the Chancellor of the Exchequer what plans he has for the Gift Aid scheme tax relief for charitable donations; and if he will make a statement. [79094]
§ John HealeyIn April 2000, the Government abolished the minimum donation of £250, so that every donation, no matter how large or small, can come within the Gift Aid scheme, providing the donor meets the scheme's conditions. From April 2003, donors will be able to carry back Gift Aid donations made before they make their self assessment tax returns into the previous tax year, thereby obtaining any higher rate relief earlier. From April 2004 taxpayers will be able to nominate a charity to receive part or all of a tax repayment that is due to them.
The Government continue to support The Giving Campaign, a charity sector-led body, which has done a great deal to raise awareness of the Gift Aid scheme among both charities and donors.