The following Trusts and Inheritance Tax guidance note Produced by Tolley in association with Speechly Bircham LLP provides comprehensive and up to date tax information covering:
This guidance note is designed to set out the main practical and legal issues to consider before setting up a new charity in England and Wales. It also sets out the requirements for registering a charity.
For further detail on any of the subjects included in this note, please visit the Charity Commission website.
New charities are established for a number of reasons. Grant-making charities can be useful vehicles for managing charitable donations effectively and tax-efficiently. In some cases, feeding donations through a grant-making charity is the only way to obtain UK tax relief on donations that will be used to carry out charitable activities. For example, this may be the case where the intention is to transfer funding to a body established outside the European Economic Area.
A new operating charity, on the other hand, may be established to pursue a charitable objective which is notcarried out by any existing charity, or where the founder believes that there is another, more effective, way of carrying out that objective.
Charities usually cost money to set up and to run. Before a new charity is established, it is therefore important to ensure that such expense will notbe wasted. For example, anyone considering establishing a grant-making charity should ensure that it would notbe better to make direct donations to operating charities. Similarly, before establishing a new operating charity, research should be done into existing charities operating in the same field to ensure that the proposed new charity will notcreate inefficiencies or a duplication of effort.
Various kinds of entity can be established with charitable status. Charitable status does notgenerally derive from the form of the entity but rather from the chosen purposes of the entity, and from provisions built into the entity’s governing document that ensure that its assets can only be used for such purposes, and not
**Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason.
Access this article and thousands of others like it free for 7 days with a trial of TolleyGuidance.
Read full article
Already a subscriber? Login
IntroductionSubsistence is the amount incurred as a consequence of business travel. Typically it relates to accommodation and meal costs incurred. These amounts are allowed because they are associated with the necessary travel. See the Travel expenses guidance note for more information of when
The majority of state benefits (also called social security benefits) are managed by the Department of Work and Pensions (DWP) via the Jobcentre Plus.Some benefits are dependent on a national insurance contribution record (and different classes of national insurance provide different benefit
Income and gains may be taxable in more than one country. The UK has three ways of ensuring that the individual does not bear a double burden:1)treaty tax relief may reduce or eliminate the double tax 2)if there is no treaty, the individual can claim ‘unilateral’ relief by deducting the foreign tax
Normal due dateSmall companies (including marginal relief companies) are required to pay all of their corporation tax ― nine months and one day ― after the end of the chargeable accounting period.For example, where a chargeable accounting period ends on 31 December 2018, the due and payable date for
To view our latest tax guidance content, sign in to Tolley Guidance or register for a free trial.