Regulation 44 Discretionary charitable relief: investment activities
An owner (C) of a material interest in the relevant land is eligible for relief from liability to pay CIL in respect of a chargeable development if—
discretionary charitable relief is available in the area in which the chargeable development will be situated;
C is a charitable institution; and
the whole or the greater part of the chargeable development will be held by C or by C and other charitable institutions as an investment from which the profits will be applied for charitable purposes (whether of C or of C and other charitable institutions).
Paragraph (1) is subject to the following provisions of this regulation.
Relief may not be granted under paragraph (1) if—
C intends to occupy that part of the chargeable development mentioned in paragraph (1)(c) and use it for ineligible trading activities; or
the material interest is owned by C jointly with a person who is not a charitable institution.
In paragraph (3)(a) “ineligible trading activities” means trading activities other than the sale of goods donated to C where the proceeds of sale of the goods (after any deduction of expenses) are applied to the charitable purposes of C.
A collecting authority may not grant relief under paragraph (1) if it is satisfied that to do so would constitute a State aid which is required to be notified to and approved by the European Commission.