The government has confirmed that charities can claim gift aid on the value of tickets from cancelled events as a result of the impact of coronavirus, if the purchasers of the tickets have:
- agreed they do not wish to be refunded for the cost of the ticket and for it to be effectively be treated as a donation.
- signed a gift aid declaration for their donations to qualify for Gift Aid, confirming that they have, or will have, paid enough tax to cover the amount the charity will claim on their donations.
HMRC have not yet updated their guidance in relation to the scope and process for making these claims, but in the meantime charities can take practical steps by ensuring they have the relevant gift aid declarations in place for any proposed claims they anticipate making. We will keep you updated when we have more details from HMRC.