The taxation benefits of charitable trust company establishment: charitable trust company start-up is an attractive alternative to conventional corporate structures, and can bring a number of appealing financial advantages to your enterprise. Although care must be taken to ensure it is clear that the monies accrued by the organisation are being used in line with charitable aims and objectives, the wide definition of these is such that business owners can almost always ensure that their trust rewards their preferred beneficiaries. Discover below why a growing number of entrepreneurs are choosing to opt for charitable trust company establishment.
Exempt from most major taxation: when a company limited by guarantee has been constituted as a charitable trust, its income and profits are exempt from the majority of UK taxation. Capital gains tax, income tax and company tax do not need to paid on any of the monies or assets that a charitable trust enjoys, provided that they are being employed for charitable purposes, as set out in the corporate registration documents. Although charitable trust company establishment can be a little tricky to undertake, we can help with every aspect of the process.
With the ability to set up a fully established charitable trust in as little as a day, we have the necessary expertise to ensure your business has all the right paperwork in place for legal charitable operation.
Take advantage of Gift Aid: the taxation benefits of being a charitable trust extend beyond direct exemption from tax. Any monies that have previously been taxed that are subsequently paid to your organisation can be considered for Gift Aid. Under Gift Aid legislation, the tax paid on the donated cash is gifted over to your organisation. We can provide you with all the necessary information, as well as ensure that your business has all the appropriate paperwork in place to be a correctly constituted charitable trust.