Donate your Shares

Have you thought about Donating your Shares to CBM?

Donating your shares to CBM is a simple and highly tax-efficient way of making a charitable gift to CBM.

Hidden away in a bottom drawer you may have long-forgotten share certificates which are producing no income and negligible growth.These could prove to be invaluable to the work of CBM. If the gift is more than £500 please contact CBM and we will let you know if we can accept the gift and what to do next. We can provide you with all the relevant forms to take the shares out of your name and transfer them into ours.

Additionally you may just want to reduce your Capital Gains Tax and get Income Tax relief from your existing portfolio.

If the value of the shares are less than £500, an efficient way to dispose of these is to contact Sharegift on 020 7930 3737 (quoting "CBM"), who will talk you through the process.  Please do make sure you mention CBM when you make a donation.

An example of this is shown below:

• If you are a basic taxpayer (20%) and you donate shares worth £500 you will be able to claim income tax relief of £100; this means that your donation to CBM has cost you only £400. CBM still receives a gift of £500.
• If you are a higher rate tax payer (40%) you will be able to claim income tax relief of £200, although CBM still receives a gift of £500.

You will not have to pay any Capital Gains Tax on disposal of these shares

The examples given above are for illustrative purposes only. You should consider taking professional advice to ensure that your gift to CBM is structured in the most efficient manner.

What are the tax benefits?

Charitable gifts of shares are capital gains tax free and since April 2000 you can get income tax relief at the highest rate for the full market value on the date of transfer to CBM.

What this means is that you will not have to pay tax on the equivalent amount of your income in the year that you make the gift. All you have to do is claim the tax relief on your self-assessment return.

In order to qualify for the tax relief you must make sure that the shares or securities are:

a) Listed or dealt on a recognised UK or foreign stock exchange
b) Units in authorised unit trusts
c) Shares in a UK open-ended investment company
d) Holdings in certain foreign collective investment schemes.

For more information about our Share Scheme please contact Clare Rice on 01223 484700 or gifts@cbmuk.org.uk