Gift Aid donations; can it be carried back in TC?

Claimant made gift aid donations during the 2019-20 tax year and made an election to carry back the donation as being made in the 2018-19 tax year by virtue of;

Reg 7 the Tax Credits (Definition and Calculation of Income) Regulations 2002 provides;

(7) In calculating income under this Part there shall be deducted …—


(b) [the grossed-up amount of] any qualifying donation (within the meaning of [Chapter 2 of
Part 8 of ITA (gift aid)]11), made by the claimant or, in the case of a joint claim, by either
or both of the claimants; …7 [and]9.

The clamant appealed on the basis that rules for qualifying GA donations mirror those for Income Tax which allows donations to be carried back.

HMRC’s reply:

“HMRC’s interpretation of Reg 3(7)(b) is that the reference to Chapter 2 only serves to define what is meant by “qualifying donation”, and is not intended to bring into scope the whole of Chapter 2 for the purposes of tax credits. The intention of Reg 3(7)(b) has not changed and that is only to allow current year gift aid deduction from income for tax credits”.

“Revenue Benefits website (­credits-work/what-is-income/the-four-steps/ ) clearly states that the amount of any gift aid, payroll giving or give as you earn donations –shall be deducted at step 4.”

Can anyone advise whether gift aid donations can be carried back for TC just as it can be done for Income Tax?

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