OpenLegislation

Section 939E Certain financial assistance to be ignoredF1F12

(1)

When determining whether a relievable charity donation is a tainted donation, F2financial assistance within subsection F3(2A), (3), (4) or (5) is to be ignored.

F4(2)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(F52A)

Financial assistance is within this subsection if it constitutes a payment made by a charity, on arm’s length terms, in respect of—

(a)

work carried out by a person for or on behalf of the charity, or

(b)

expenses incurred by a person in the course of such work.

(3)

F6Financial assistance is within this subsection if (ignoring the tainted donation provisions) it is—

(a)

a benefit associated with a gift which is a qualifying donation for the purposes of Chapter 2 of Part 8 of ITA 2007 (gift aid), or

(b)

a benefit associated with a payment which is a qualifying payment for the purposes of Chapter 2 of Part 6 (charitable donations relief: payments to charity).

(4)

F7Financial assistance is within this subsection if (ignoring the tainted donation provisions)—

(a)

the relievable charity donation is a disposal in respect of which tax relief would be available under Chapter 3 of Part 8 of ITA 2007 (gifts of shares, securities and real property to charities etc ) or Chapter 3 of Part 6 (charitable donations: certain disposals to charity), and

(b)

F8the assistance is a benefit the value of which would be taken into account in determining the relievable amount in respect of the disposal for the purposes of the Chapter in question.

(5)

F9Financial assistance is within this subsection if (ignoring the tainted donation provisions)—

(a)

the relievable charity donation is a gift in respect of which tax relief would be available under section 108 of ITTOIA 2005 or section 105 of CTA 2009 (gifts of trading stock to charities etc ), and

(b)

F10the assistance is a benefit attributable to the making of the gift in respect of which an amount would be brought into account under section 109 of ITTOIA 2005 or section 108 of CTA 2009 (receipt of benefits by donor or connected person).

(6)

In this section—

  • “ benefit associated with a gift ” has the meaning given by section 417 of ITA 2007;

  • “ benefit associated with a payment ” has the meaning given by section 196;

  • F11“financial assistance” has the same meaning as in section 939C;

  • “ the tainted donation provisions ” has the meaning given by section 939B(3).

Annotations

Textual amendments

F1

Pt. 21C inserted (with effect in accordance with Sch. 3 para. 27 28 of the amending Act) by Finance Act 2011 (c. 11), Sch. 3 para. 2

F2

Words in s. 939E(1) substituted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 16(3)(a)

F3

Word in s. 939E(1) substituted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 16(3)(b)

F4

S. 939E(2) omitted (with effect in accordance with s. 56(8) of the amending Act) by virtue of Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 16(4)

F5

S. 939E(2A) inserted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 16(5)

F6

Words in s. 939E(3) substituted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 16(6)

F7

Words in s. 939E(4) substituted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 16(6)

F8

Words in s. 939E(4)(b) substituted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 16(7)

F9

Words in s. 939E(5) substituted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 16(6)

F10

Words in s. 939E(5)(b) substituted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 16(7)

F11

Words in s. 939E(6) inserted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 16(8)

F12

Word in s. 939E heading substituted (with effect in accordance with s. 56(8) of the amending Act) by Finance Act 2026 (c. 11), s. 56(8), Sch. 9 para. 16(2)