Get a great return while helping the charity of your choice

Publicity surrounding the benefits of gift aid has been at an all time high recently following generous donations to the Tsunami appeal, however, KPM Financial Planning Limited is reminding tax payers across the region to take advantage of a further scheme.

Community Investment Tax Relief allows tax payers to obtain a tax
relief of five per cent a year if they invest money for five years with The Charity Bank. This effectively gives a five per cent tax free return on the capital. In addition savers can earn up to two per cent interest on the capital, or they could choose to donate this to their favourite charity.

Paul Millar from KPM Financial Planning comments: “Taking advantage of Gift Aid or setting up on-going charitable donations is now more popular than ever with schemes such as Payroll Giving being a focus of this year’s budget.

“The Charity Bank provides another option for tax payers wishing to offer continued support to a good cause while also enjoying an excellent return. Many savers will be delighted to hear that their money is being used for good causes while also raising interest at an excellent rate.”

A minimum investment of £1,000 is required and this is then lent to charities and disadvantaged communities at affordable rates. The money is tied up for the whole five years, although limited withdrawals can be made in years three, four and five.

The Charity Bank is a registered charity which uses savers’ cash to provide affordable loans to worthy organisations that would otherwise struggle to raise money.

For more information contact KPM Financial Planning on 01902 365 855.