Income Tax Act 2007 section 420

Disregard of certain admission rights

Section 420 allows certain admission rights received in return for a charitable gift to be disregarded as benefits, so that the gift can still qualify as a Gift Aid donation.

• Where a donor receives a right of free or reduced-price admission to a charity's premises in return for a gift, that benefit can be ignored for Gift Aid purposes provided certain conditions are met
• The opportunity to donate and receive the admission right must be available to the public (Condition A), and the right must be for viewing property preserved, maintained, kept or created by the charity for its charitable purposes (Condition B)
• In addition, either the admission right must be valid for at least 12 months at all times the public can gain entry (Condition C), or a member of the public could buy the same right and the gift exceeds that purchase price by at least 10% (Condition D)
• Property covered by Condition B includes buildings, grounds, plants, animals, works of art (but not performances), artefacts and items of a scientific nature