HM Revenue & Customs (HMRC) will stop making repayments of Gift Aid by payable order and instead make all payments electronically using the Bacs system.
This decision has been taken in view of the Budget 2011 announcement that an ‘online filing’ system for charities and Community Amateur Sports Clubs (CASCs) will be introduced in 2012-13. This system will not include the ability to make repayments by payable order which also reflects the target date set by the Payments Council for withdrawing cheques by October 2018.
For Charities and CASCs that HMRC already hold bank details for, HMRC will now automatically make any Gift Aid repayments by Bacs.
Organisations that HMRC do not hold bank details for should supply their bank account details on form ChV1. In the interim HMRC will continue to make any repayments by payable order.
