- The UK government has ended a tax rule that forced businesses to pay 20% VAT on goods donated to charity.
- This change is expected to benefit charities by £72.5 million in the first year.
- Previously, the rule encouraged businesses to destroy surplus goods rather than donate them.
- The Confederation of British Industry, Gordon Brown, and David Tennant campaigned for the change.
- Businesses can now donate surplus items like clothes and toiletries to charities tax-free, helping people in need.
Source: thisismoney.co.uk
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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