Every little extra helps - covenants explained One of the messages we are constantly trying to put across is that all members should consider 'covenanting' their membership subscription.

Undoubtedly, the vast majority of RNLI members pay UK income tax and are, therefore, eligible further to help the RNLI simply by signing a covenant in its favour. However as yet only a third have done so.

It appears that many people are still confused and cautious, for example about how a covenant might affect their tax situation and whether or not they qualify to sign one in the first place.

Essentially, the principle 'rules" are simple, and the following very brief summary gives the key points relating to covenants: • If you are resident in the UK you almost certainly pay income tax on your income - salary, pension or on the interest from savings. This payment of income tax qualifies you to sign a covenant.

There are a few exceptions to qualifying, for example if you live and work abroad and pay no UK income tax.

• If you give an amount of your income to charity (as a donation or membership subscription) the charity is able to reclaim the tax you have already paid to the Inland Revenue on that same amount. For example, if you receive taxable income (wage, salary, pension etc) of £40, you will be left with a net income of £30, having paid £10 income tax (based on a 25% rate of tax) to the Inland Revenue. (If you pay income tax at a higher rate (eg 40%) you will pay more than £10 and receive a net amount of less than £30.) • If we assume you give your £30 to the RNLI, perhaps as an Annual Governorship subscription, a covenant will enable the RNLI to ask for the £10 tax back from the Inland Revenue. This makes your contribution of £30 actually worth £40 to the RNLI.

• Covenants are simply an agreement between the Inland Revenue and the RNLI, enabling the RNLI to claim back tax because of its 'charitable status'.

• Signing a covenant will not affect you or your tax position and will certainly not result in a visit from the taxman! The covenant is simply a declaration that you pay income tax and that you will make a contribution to a particular charity each year. If you pay income tax at the higher rate there are even some personal advantages to be gained through covenanting your contribution to the RNLI.

• The amount of income tax you pay is only of importance if in any year it is less than the amount the RNLI wishes to claim back from the Inland Revenue. The RNLI could not claim back the £10 tax if you had not paid at least this amount to the Inland Revenue during that year.

• The only mandatory condition of signing a covenant is that you must 'promise' to make your contribution annually to the RNLI for at least four years. Beyond this period, the covenant will remain valid only while you continue your contributions.

So in summary, a covenant will not affect your tax position, increases the value of your contribution to charity at no cost to yourself - and should be considered by all who give regularly to charity.

The sheet of paper to which your address label was affixed for posting this issue contains a simple covenant form. Please do consider using this form if you pay an annual subscription for Shoreline or Joint Shoreline membership or Annual Governorship.

If you are unsure whether or not you have already covenanted your subscription see the sheet for advice and guidance.

Don't miss this opportunity to increase the value of subscription to the RNLI by a third - at no cost to yourself.

Gift Membership We constantly receive letters from members praising the quality and interesting content of THE LIFEBOAT. So we thought: what better gift to give to a friend this Christmas, than a year's worth of THE LIFEBOAT? Enclosed with this issue is a gift membership leaflet. You can use this to make a gift of RNLI membership to a friend, neighbour or relative who would enjoy reading our regular journal and being a part of the RNLI.

They may simply find interest in learning about the lifeboat service and the dedication of the crews - after all, there are some wonderful stories of courage and dramatic rescues in these pages; or they may have an active interest in sailing or boating and find the technical and operational aspects of running the lifeboat service fascinating.

As well as providing enjoyment and interest, the gift subscription will, of course, further help the work of the RNLI.

It's a unique and thoughtful gift idea, especially with Christmas looming! Membership cards Following our request in the Summer issue of THE LIFEBOAT, we have received numerous letters on the subject of membership cards.

There has been a truly mixed reaction to our questions about how useful or important you think are membership cards. We are not attempting to make any decisions in the near future, but would like your guidance on the purpose and value of these cards. If you would like to share your thoughts, please write to Neil G. Morris, Membership Marketing Manager at RNLI headquarters in Poole.

Problems? Please remember that help is always to hand should you ever have any problems with your membership.

We may not always be able immediately to answer all your queries fully, but we will certainly take the details and return your call with an answer.

Simply phone (0202) 671133 and ask for Membership Services.

Please have your membership number handy when you call, as this will help us to answer your query more quickly.

Storm Force Enclosed with this issue is a membership form for Storm Force - the under-16 section of the membership scheme. Storm Force is going from strength to strength, with more members, more activities and a constantly up-dated quarterly Storm Force News. If there is anyone in your family under 16 why not use the form to enrol them in Storm Force for just £3?.