Report on Gift Aid reliefs, abuse and error

The National Audit Office (NAO) has issued a report examining how HM Revenue & Customs (HMRC) monitors and evaluates the effectiveness of Gift Aid reliefs and how it tries to deal with tax avoidance, fraud and error in relation to tax reliefs on donations. The NAO reports that it is estimated that while use of these reliefs costs the exchequer approximately £2bn per year, around £170m is also lost through abuse of these reliefs or simple error.

According to sources within the sector, the main impetus behind the report is to ensure that charities obtain as much value as is legitimately possible from the use of these tax reliefs, while at the same time identifying areas in which HMRC can improve. Gift Aid is recognised, by both the NAO report and the HMRC, as an extremely important source of income for charities, and as the report mentions it ‘is important that tax reliefs on donations are well administered to protect the reputation of the charitable sector and give confidence to donors’…

If you are registered and logged in to the site, click on the link below to read the rest of the Mills & Reeve briefing. If not, please register or sign in with your details below



Sign in or Register to continue reading this article

Sign in


It's quick, easy and free!

It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.

Register now

Why register to The Lawyer


Industry insight

In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.


Market intelligence

Identify the major players and business opportunities within a particular region through our series of free, special reports.


Email newsletters

Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.

More relevant to you

To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.

Analysis from The Lawyer

  • head1

    LPOver and out?

    The trend for unbundling legal work is advancing through the law firm ranks but there is still resistance in some quarters - namely in-house. We asked why


Fountain House
130 Fenchurch Street

Turnover (£m): 79.50
No. of lawyers: 367