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Thursday, August 10th, 2017

Charity Tax on its Way?

Charity potThose not directly involved in the running of registered charities might think that the following is no concern to them. However, I would suggest that anything which diverts any charity funding away from core purposes has an effect on the whole community.

The Charities Commission is gearing up for a ‘consultation’ on charging individual charities for its role in regulating them.

Jane Hobson, the Commission’s Head of Policy has mooted different ideas for a charging structure, ranging from a fixed annual fee of £140 for all registered charities to a sliding scale on which the largest charities paying £1,500 a year.

However, whilst to a very large charity, £1,500 might be negligible compared with their turnover, to the smallest even a ‘mere’ £140 can be a substantial imposition on their budget.

Yet, that is somewhat beside the point. If all the registered charities in England and Wales paid £140, that would raise about £2.6 million for the Commission, replacing money that has been traditionally provided by Government with money charitably donated or raised from the public, and thus diverted from essential good causes, to the detriment of many already struggling organisations.

For more arguments against what has been called a ‘charity tax’, the umbrella organisation NAVCA has recommended a blog by former Commission Board Member, Andrew Purkis.

The consultation is on its way, we encourage everyone to think carefully about these issues and be ready to participate.

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CEO Colebridge Trust & SUSTAiN