Online Course on Charity Trading and Charitable Expenditure
There is no blanket tax exemption for the income of a charity.
As an accountant either working in a charity or advising charities, you’ll need to know when income and gains are subject to, or exempt from tax.
This course looks at the definition of a charity, and outline show charities
can receive tax reliefs.
The course also looks in detail at which kinds of income are and are not exempt from tax.
We helps you explore whether the your charity or the charities you are advising
comply with legislation.
Understanding Charity Trading and Charitable Expenditure
enables the learner to:
• Understand the definition of a charity for tax purposes
• Identify the conditions of income and gains that will be exempt from tax
• Recognise what constitutes primary purpose trading under UK tax law
Learning outcomes of Charity Trading and Charitable Expenditure
Definition of a Charity for Tax Purposes
• What are the general rules qualifying tax exemptions?
• How does HMRC view fit and proper persons?
• How does HMRC decided if a manger is not fit and proper?
• When should a charity register with HMRC?
Taxation of a Charity’s Income
• When is income chargeable?
• Are there any specific exemptions?
• How does non-charitable expenditure effect tax exemption?
• Approved charitable investments and loans
• Payments to foreign bodies
• What does HMRC expect?
Trading and Business Incomes
• What is primary purpose and non-primary purpose trading?
• What does the exemption for fund-raising events state?
• What is the small trading exemption?
• How do we calculate profits and losses?
• Using a trading subsidiary
• Property income and sponsorship
About the Author of Charity trading and Charitable Expenditure
Tony Austin FCA has been a Chartered Accountant and tax specialist for over 30 years of which nearly 20 years were as tax partner with BDO and Mazars, where he specialised in advising charities on direct taxation matters particularly those relating to trading, Gift Aid and other tax effective giving and the establishment and running of trading subsidiaries.
Through his work with the Charities’ Tax Group, he is involved in the consultation process with HMRC on the application and reform of tax legislation affecting the not for profit sector.
He also advises owner managed businesses, both large and small, on all aspects of direct taxation and tax planning affecting them and the people that own them, including subsidiaries or branches of overseas companies.
Learners take their own route through the topics covered in the course. They will learn at their own pace through a variety of activities designed to accommodate a range of learning styles.
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