Revenue mauls animal charity

A charity that rescues and houses Labradors is struggling to pay a tax bill after the Inland Revenue said it could no longer claim gift aid on donations.

Link: Push to exempt charities from VAT

The Labrador Lifeline Trust could no longer claim the aid back on donations made when the dogs were re-homed, as the deal had to be treated as a ‘sale’ or ‘service’.

‘We have been dealt a devastating blow,’ said chairman Anne Carter to The Telegraph.

The Revenue had previously returned money to the charity on gift aid claims, but following an audit inspection, it has been told it can longer make the claim, and must pay back £11,300 in the next 28 days.

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