Charities to receive tax breaks on mobile phone donations
Date posted: 08 Aug 2009
UK charities could be set to receive new tax benefits on donations made to them via mobile phone, under proposals outlined by the Mobile Data Association (MDA).
The trade association has announced that donations sent to dedicated charity short codes will not have any VAT taken from them.
Under the scheme, mobile users will be able to donate sums of up to £10 by sending a text message to a registered charity's short code or by using the Payforit service.
UK charities could be set to receive new tax benefits on donations made to them via mobile phone, under proposals outlined by the Mobile Data Association (MDA).
The trade association has announced that donations sent to dedicated charity short codes will not have any VAT taken from them.
Under the scheme, mobile users will be able to donate sums of up to £10 by sending a text message to a registered charity's short code or by using the Payforit service.
The mobile network operators 3, Orange and T-Mobile have approved the new framework, along with Telefonica, O2 and Vodafone.
Martin Ballard, MDA operations director, commented that the new development should make the donating process simpler for all parties.
He said: "This is a really fantastic development both for the UK charitable sector and a great example of the mobile industry collaborating for a good cause."
The MDA is a not-for-profit association, which aims to represent all mobile data-centric businesses.

