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CH Raising £ via car boot sales/ebay etc

I am a volunteer for a charity, and we are looking at ways people can raise money for us, one of which is to sell unwanted possessions via car boot sales, jumble sales, and/or ebay and other such ways.

Before we actually put this in our literature, does anybody know if there is a VAT implication or other tax implication for the person doing the selling that we should tell people about?

Also, would it be OK for the person who has sold things to then donate the money raised as a straightforward private donation and to Gift Aid it if they are a tax payer? Or should we advise that they just hand the cash over without Gift Aid since it is not taxed income?

Any advice would be very gratefully received.

Snowy Owl

Comments

  • Savvy_Sue
    Savvy_Sue Posts: 47,441 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    If it is not taxed income, ie declared to the taxman, then I do not think it can be Gift Aided. If they are raising small amounts then this is not something I think you would need to worry about, but if you get into the 000s, then you would. Definitely. And so would they, because they might need to explain to the tax man where they were getting all this money from that they were Gift Aiding to you.

    I know nothing about VAT, I'm afraid.

    But another thing to be aware of is that if anyone is raising money ON YOUR BEHALF, the Trustees of the Charity need to be aware that they are doing it, and to ensure that the money is getting to you. This is to avoid the situation where someone is going round rattling a tin door to door saying they are collecting for you, but you never see the cash. It also avoids the situation where someone uses your name, good will etc, and then holds an event which isn't in line with your policies - for example if you were a charity helping gamblers and their families, you wouldn't want someone holding a raffle to raise funds for you.

    The charity I work for deals with quite sensitive issues, and we sometimes have people offering to stage performances of various things to raise money for us. In some cases we've responded that we don't believe it's appropriate.

    So one way to get round this might be to suggest general ways of people raising money on your behalf and invite them to get in touch for more information, and be ready to send them 'official' badges, banners etc to make it clear it's an 'official' charity stall at a car boot sale etc, because some people will be more generous and give donations for a charity. Doesn't help with e-bay, of course.

    On a more positive note, another way people can raise money is to host things like Bodyshop or Dorling Kindersley parties for you, and pass on their commission or gifts for you to raffle.

    If you trawl back through previous posts, I've highlighted a few useful information services for people involved with charities, and so have others. Wish I could remember what they were to repeat them here ... but brain has ceased to function! Sorry, if it comes back to me I'll put them up again...
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  • SnowyOwl_2
    SnowyOwl_2 Posts: 5,257 Forumite
    1,000 Posts Combo Breaker
    Hi Savvy_Sue

    Thanks for getting back to me. One of our Trustees raised the issue about VAT with me, and I just wanted to check it out. I don't think there is actually an issue with it if selling second-hand items anyway. If it's not an issue then it's unlikely I'll find anything about it via google or whatever....

    I like your ideas for commission from Body Shop type parties - we hadn't thought of that, so will add it to our list of "Ways to Raise Money". What's Dorling Kingsley (sp?) - this name rings a bell but I don't know what it is?

    I'll have to get myself a nice big mug of tea and have a marathon trawl through previous threads. It's wonderful having this forum as an informal source of information, specially as I am not an experienced fundraiser.

    Thanks again.

    Snowy Owl.
  • Savvy_Sue
    Savvy_Sue Posts: 47,441 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Dorling Kindersley: books, especially children's reference and factual. Brilliant books, a bit on the pricey side sometimes. Think The Red House may also do book parties.

    All the best! In haste ...
    Signature removed for peace of mind
  • Savvy_Sue
    Savvy_Sue Posts: 47,441 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Trawling through old posts I found this about Ebay auctions for charity.

    And although it doesn't say much, it occurred to me that it might be worth sending a PM to Arkonite Babe to ask whether she discovered anything, or looking on the Ebay board to see if anything is said there.
    Signature removed for peace of mind
  • SnowyOwl_2
    SnowyOwl_2 Posts: 5,257 Forumite
    1,000 Posts Combo Breaker
    Thanks again Savvy_Sue, you are a star! ;)
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