Top-up payments
2Meaning of “eligible charity”
1
A charity is an eligible charity for a tax year F1if it is not an excluded charity for that tax year (see subsection (3)).
F22
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3
A charity on which a penalty has been imposed in connection with a gift aid exemption claim or top-up claim made by the charity is F3an excluded charity —
a
for the tax year in which the claim was made, F4and
b
for the next tax year,
(even if the penalty was imposed after the tax year in which the claim was made).
4
For the purposes of this section—
F5a
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b
“penalty” means a penalty under—
i
Schedule 24 to the Finance Act 2007, or
ii
regulations under section 11;
c
a penalty is not to be regarded as having been imposed if all of the penalty is suspended (or the decision that a penalty is payable is cancelled on appeal); but this does not apply to a suspended penalty that subsequently becomes payable.