Ticket refund help for Charities having to cancel events due to Covid-19
Posted on 22nd April 2020
by
Streets
Those events that have been postponed or not cancelled will not be eligible for support through the measures announced.
To help reduce the administrative burden and financial impact on those charities who have had to cancel an event, HMRC will accept that where a person due a refund decides to donate this to charity, the money received meets the requirement of a qualifying donation.
However, to satisfy requirements those charities seeking to take advantage of this measure, must adopt the following process:
- contact the individual who previously purchased the tickets of the cancelled event
- explain that the individual is entitled to a refund but may wish to donate the cost of the ticket to the charity
- make it clear that the individual does not have to donate the refund but if they choose to donate it, it is non-refundable
- make sure the individual has enough tax to cover the donation
- ensure that there is a Gift Aid declaration in place for the individual
- keep an audit trail, including a copy of the agreement from an individual agreeing to the donation of the cost of the ticket.
Therefore, during the period of Covid-19, charities no longer have to physically refund the ticket price for the individual to re-donate.
More information
No Advice
The content produced and presented by Streets is for general guidance and informational purposes only. It should not be construed as legal, tax, investment, financial or other advice. Furthermore, it should not be considered a recommendation or an offer to sell, or a solicitation of any offer to buy any securities or other form of financial asset. The information provided by Streets is of a general nature and is not specific for any individual or entity. Appropriate and tailored advice or independent research should be obtained before making any such decisions. Streets does not accept any liability for any loss or damage which is incurred from you acting or not acting as a result of obtaining Streets' visual or audible content.
Information
The content used by Streets has been obtained from or is based on sources that we believe to be accurate and reliable. Although reasonable care has been taken in gathering the necessary information, we cannot guarantee the accuracy or completeness of any information we publish and we accept no liability for any errors or omissions in material. You should always seek specific advice prior to making any investment, legal or tax decisions.
Expert insight and news straight
to your inbox
Related Articles
Is it time to reflect on the culture of your organisation?
Having been involved in recruitment interviews recently, in which seemingly all applicants asked what the culture of the organisation was like, it did give rise to reflection on the same and what is meant by culture and how it affects the success or otherwise of an organisation.
Organisational ...
Class 4 NICs who is liable?
Most self-employed people are required to pay Class 4 National Insurance contributions (NICs) if their profits are £12,570 or more a year.
Class 4 NIC rates for the tax year 2024-25 are 6% (2023-24: 9%) for chargeable profits between £12,570 and
Post Transaction Valuation Checks
A Post Transaction Valuation Check (PTVC) can be requested from HMRC for an individual to work out a capital gains tax liability or for companies to calculate corporation tax liability on chargeable gains. The request for a PTVC should be made using
Share this article