Payment to charity under the Gift Aid System and Personal Pension Contributions Flashcards
1
Q
How is 40% tax relief given for the higher rate band?
A
20% at source
20% through the income tax computation, through extending the basic rate band limits by the donation
2
Q
How is 45% tax relief given for the additional rate band?
A
20% at source
25% through the income tax computation, through extending the basic rate and higher rate band limits by the donation
3
Q
Rate for the basic rate band?
A
20%
