New queries, issue 4626

Charity confusion

Can UK charity make a gift aid claim for donations made by its own volunteers?

I act for a charity that provides holidays in the UK for children from poor homes and deprived backgrounds in one of the former Soviet republics. Volunteers allow the children to stay in their homes here for up to four weeks at a time and the children are fed and entertained at the volunteer’s expense.

To provide a better understanding of the children’s backgrounds and the problems they face at home some UK volunteers also make visits to the republic. The charity arranges flights and accommodation and the volunteer will make a donation to the charity to cover or more than cover those costs. The donation is made under gift aid.

The charity has recently had an inspection of its books and records by HMRC and the department is questioning...