Charities should be aware of the following changes and deadlines in April 2019.

• Making Tax Digital for VAT: The mandatory start date for most VAT registered organisations is 1 April 2019 (but remember some charities have their start date deferred until 1 October 2019). Read more here. However, 1 April is not a ‘sign up deadline’ – you need to be signed up to MTD in time to submit your first mandated return (but you’ll need to be keeping digital records from the start of that return period) – this will be the end of the first quarter starting on or after 1 April. Any VAT periods already started, that cover 1 April, should be compiled and submitted under existing methods. Charities should plan ahead when making the switch to MTD (particularly where payments are made by direct debit) and make sure they are ready to do so.
• Gift Aid Small Donations Scheme (GASDS): the eligible donation limit increases from £20 to £30 from 6 April 2019. Read more here
• Gift Aid Donor Benefits: simplification of the current rules to include just two thresholds. Read more here
• Retail Gift Aid: the Government is introducing a non-mandatory £20 de minimis limit for letters to donors, for charities operating methods A or B of the Retail Gift Aid scheme. If a charity decides to adopt the new limit, then from 6 April 2019, a letter only need to be issued once net sales have reach £20, or every three years, whichever comes first. Read more here.
• Small trading exemption: this measure will increase the small trading tax exemption limits (at the top end from £50,000 to £80,000) for charities that apply to trading that does not relate to a charity’s primary purpose. The change will be effective from 6 April 2019. Read more here.
• Personal Allowance: this increases from to £11,850 to £12,500 from 6 April 2019. Full details of rates and thresholds for employers: 2019 to 2020 can be found here. Details on new Scottish income tax bands and thresholds can be found here.
• Apprenticeship Levy: From April 2019, levy-paying employers can transfer a maximum amount of 25% of their annual funds. Small employers’ co-investment rate for apprenticeship training is also being cut from 10% to 5%. Read more here.
• Reform of tax exemption for employer contributions into life assurance and certain overseas pension schemes: Currently, premiums and contributions are only exempt from tax if the beneficiary is the employee or a member of the employee’s family or household. From April 2019, new rules allow the beneficiary to be any individual or registered charity. Read more here.

Following representations by CTG, HMRC will not be making inclusion of a full forename on a Gift Aid claim mandatory from April 2019. However, CTG encourages all charities to collect and process full forenames wherever possible and practical to do so. Read more here. CTG proposes the following next steps for charities claiming Gift Aid.

• Check what percentage of your Gift Aid records include a full forename
• If you hold a full forenames for donors include them in your Gift Aid claim
• Try to collect full forenames in future where practical and possible to do so – inform staff, volunteers and software providers about this
• Document any actions undertaken to improve collection of first name information
• Provide feedback to CTG on any difficulties experienced or negative responses received from donors