PSI5.1.36 - Contributions by Employers: General - Contributions by Employers Assessed under Schedule E - Contributions by Employers which are Charities

(This archived guidance relates to HMRC discretionary practice before the 6th April 2006. For current guidance on Registered Pension Schemes see the Registered Pension Schemes Manual)

(This text has been withheld because of exemptions in the Freedom of Information Act 2000)

A charity can be accepted as an "undertaking" for the purposes of section 590(2)(e) ICTA 1988 and so may set up an exempt approved scheme for its employees. Most charities are registered with the Charity Commissioners but this is not essential to the Revenue's treatment of the body for tax purposes. If the Revenue accepts a body as a charity it is exempt from tax on most types of its income and gains which are applied for charitable purposes (section 505 ICTA 1988).