Clegg hints at u-turn on charity tax cap

The mooted plans would see charitable donations capped at £50,000 a year or at 25% of an individual's income, whichever is higher. But Clegg told the Today Programme the coalition "have some time" to come up with a compromise, following widespread criticism from charities and philanthropists. There would be "some limit" on tax-free giving - potentially closer to the 50% adopted in America rather than 25% in this year's Budget. He said the government should encourage philanthropy, but added there was "a simple principle at stake". "If you have an unlimited allowance, you are asking ...