GAIN FROM COVENANTS
ADRIVE to popularise the Covenant scheme for the benefit of parochial funds is being started in the Liverpool Archdiocese.
A central office is being
opened, where parish priests will be relieved' of most of the clerical work involved in the reclaiming of .the tax. The organiser is Mgr. T. Adamson, Chairman of the Diocesan Finance Board. who feels, that if successful. the scheme will redeem many thousands of pounds that now go to the national exchequer.
April 6, the start of the financial year, is the date suggested for the initiation of the scheme in parishes where the idea has taken root.
The determination to popularise the Covenant scheme comes from the success which has accrued in other dioceses, particularly Southwark. where it has been tried for some time.
A CHARITY ' Nonconformists use it in order to guarantee the income for their chapels; it is in every way legal in cases where the beneficiary is in effect a " charity". The Catholic Church is a "charity ", in this legal way.
Mr. Bernard Joseph Emblem, K.S.G., a retired Inspector of Taxes, has visited several dioceses where he has expounded the scheme, and in fact gave advice on the matter to the • Liverpool authorities.
So far, the scheme has been applied generally for the purpose of reclaiming tax on offerings made for the Central Schools Fund. But Liverpool are embarking on a novel idea.
Parishioners are being invited to covenant for the total of their offerings to their church, that is. for what they give weekly in door money, offertory and special collections, Altar Society, Mass offerings, and the parish share of the football pools, etc.
A Covenant is usually made for an annual lump sum. but the payment of this sum may be made in small instalments. Liverpool parishes will take their covenant on a weekly basis.
There is a practical difficulty, however. and it is that the Tax Authorities refund tax for the benefit of charities only at the standard rate of 8s. 6d. This would mean a burden to a contributor who pays a smaller rate of tax.
In order to overcome this obstacle, the Liverpool contributor who pays less than 8s. 6d. in tax will he asked to covenant for an amount less than he actually gives to his church. For instance. a parishioner contributing 7s. per week to his parish funds may have to covenant for 3s. in order to avoid an obvious burden.
One Liverpool parish last year successfully recovered £1,250 through its own Covenant scheme.