Tax efficient giving
UK Taxpayers
Gift Aid is a UK government tax scheme, which enables the School to claim tax relief on donations that we receive from UK taxpayers. For each eligible gift, the UK government will add another 25% to the total at no cost to the donor. For example: A £100 gift with Gift Aid is worth £125 to the School.
Higher-rate UK taxpayers can also claim tax relief on their donation. The amount that they can claim back is the difference between the higher and basic rate tax.
Here are some examples of Gift Aid and higher-rate tax-relief*:
| Your gift | The School receives | 40% taxpayers can reclaim higher rate relief of: | 45% taxpayer can reclaim higher rate relief of: | Donor Recognition Society |
| £10 | £12.50 | £2.50 | £3.12 | Donor |
| £50 | £62.50 | £12.50 | £15.62 | Donor |
| £100 | £125 | £25 | £31.25 | Donor |
| £250 | £312.50 | £62.50 | £8.12 | Donor |
| £500 | £625 | £125 | £156.25 | Donor |
| £1,000 | £1,250 | £250 | £312.50 | Plowden Circle |
| £5,000 | £6,250 | £1,250 | £1,562 | Ambassador Circle |
| £10,000 | £12,500 | £2,500 | £3,125 | Dean's Circle |
| £25,000 | £31,250 | £6,250 | £7,812 | Chairman's Circle |
- In order for your gifts to be eligible for Gift Aid, you must be a UK taxpayer who will have paid an amount of Income Tax and/or Capital Gains Tax at least equal to the amount of tax that all the charities or Community Amateur Sports Clubs (CASCs) that you donate to will reclaim on your gifts for that tax year (currently 25p for every £1 you donate). N.B. Other taxes that you may pay, such as VAT or Council Tax, do not qualify for Gift Aid relief.
- Donations from companies are not eligible for Gift Aid. However, the company can treat the gift as an allowable expense, making a saving on Corporation Tax.
- Gifts made with Charities Aid Foundation (CAF) vouchers have already had Gift Aid claimed on them by CAF and passed to the charity, so further Gift Aid cannot be claimed.
USA Taxpayers
The American Friends of London Business School is a US public charity, described in IRC 501 (c) (3) (EIN# 52-1689073). This means that US taxpayers can offset a donation of cash or stock to the American Friends of London Business School against their tax bill. The American Friends of London Business School can also accept gifts of stock and shares and is eligible for tax-deductible gifts from corporate matching gift programmes.
Canadian Taxpayers
London Business School is one of the recognised charities under Canadian Income Tax regulations. Donations made in support of the School will qualify for income tax deductions for Canadian taxpayers.
European Taxpayers
Supporters of the School in a number of European countries can make tax-efficient donations through the Transnational Giving Europe (TGE) network. This is a partnership of European charitable foundations that facilitates tax-efficient cross-border giving within Europe. The TGE network enables donors resident in one of the participating countries (both corporations and individuals) to financially support non-profit organisations in other member countries, while benefiting directly from the tax advantages provided for in the legislation of their country of residence.
For more information and to find your local partner, please visit the TGE page.
