# Income Tax Act 2007, Section 418: Restrictions on associated benefits

Extent: E+W+S+N.I.

(1) For the purposes of section 416(7), the restrictions on benefits associated with a gift are breached if condition A or B is met.
(2) Condition A is that the total value of the benefits associated with the gift exceeds the variable limit, which is—
(a) in a case where the amount of the gift is £100 or less, 25% of that amount, and
(b) in a case where the amount of the gift exceeds £100, the sum of £25 and 5% of the amount of the excess.
(3) Condition B is that the sum of—
(a) the total value of the benefits associated with the gift, and
(b) the total value of the benefits (if any) associated with each relevant prior gift,
is more than £2,500.
(4) “Relevant prior gift” means a gift—
(a) which has already been made by the individual to the charity in the tax year, and
(b) which is a qualifying donation.
(5) This section needs to be read with sections 419 to 421.

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Source: https://www.legislation.gov.uk/ukpga/2007/3/section/418 (the official version)
Page: https://openlegislation.uk/income-tax-act-2007/section-418
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.