From April 2014, charities can use HMRC’s Charities Online service to claim repayments for Gift Aid. The charity needs to register with HMRC for an online services account in order to access this service, which allows faster processing of claims – payment should be received within 25 working days of submitting the claim.

The claim process uses a schedule spreadsheet which should also be used to report errors in previous claims and adjust the tax on the claim being submitted. Detailed instructions on the completion of online claims are available on the HMRC website.

Charities unable or unwilling to use the online service can continue to make claims by post, using the new ChR1 form which can be obtained via the HMRC Charities helpline, and replaces the previous form, R68.

Claims must be made within 4 years of the end of the tax year (for non-corporates) or accounting period (for corporate entities) for Gift Aid or 2 years for cash donations under the Gift Aid Small Donations Scheme.

Legislation was introduced in Finance Act 2015 following a review of Gift Aid and Digital Giving to allow intermediaries to have a greater role in processing Gift Aid claims on behalf of charities, specifically targeted at relieving the need to receive a Gift Aid declaration for each donation by an individual. Regulations to implement the changes are to be brought forward in 2016.