It is a myth that charities are not subject to tax.
We know that VAT can be a significant cost to your charity and there can also be pitfalls when unusual transactions arise or you change how you structure your activities or start something new.
Our charity team is experienced in advising on the VAT issues affecting charities and can help you to minimise both the VAT expense and the risk of getting it wrong.
Income and corporation tax can also be an issue for charities. Although many of your activities will not be taxable, some activities can be regarded as trading by HMRC and depending on the level of these you could be liable for corporation tax on the surplus arising. Even if there is no tax due many charities are still required to file a tax return, either for corporation tax or for income tax if your charity is unincorporated.
We can advise you on which of your activities are likely to be liable to tax, help you structure your activities to reduce your tax bill as much as possible, and can also help you with the compliance aspects of completing your tax return.
To find out more about how our charity team can help you deal with VAT and tax, contact us today.