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An agreement to pay a regular amount of money, particularly when this enables the recipient (typically a charity) to reclaim any tax paid by the donor on the amount.
legal document, contract, legal agreement, indenture, instrumentView synonyms
- ‘A child or other relation can provide a deed of covenant for an older person to assist with nursing home fees and claim income tax relief at their marginal rate on contributions.’
- ‘‘I remember once I spent a month going round all the company's Swindon offices encouraging people to make their regular donations by deed of covenant instead of just giving deductions from their pay,’ she said.’
- ‘To protect its investment the Government has also entered into a deed of covenant with the groups stipulating the terms under which State funding has been provided.’
- ‘From 6 April 2000, where companies pay interest, dividends, royalties, and amounts under deeds of covenant, the amount of tax to be withheld will be 22 per cent.’
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