Commentary on provisions of Act Section 3: Charities running charitable activities in community buildings
This section makes amendments to sections 6, 7 and 8 of the 2012 Act.
	Subsections (2) and (3) make changes to the heading of section 6 and subsection (1) of that section to clarify that the scheme rules contained in section 6 apply to charities with more than one community building.
	Subsection (4) omits subsections (2) and (3) of section 6 of the 2012 Act and inserts new subsections (2) to (3D).
	New subsection (2) of section 6 provides that the specified amount (the maximum amount of small donations that a charity may claim a top -up payment on in a tax year) for a charity with more than one community building is the greater of £8,000 or the total of the community buildings amounts for each community building.
	A charity with more than one community building may therefore be able to claim top-up payments in respect of small donations of more than £8,000 in a tax year. If a charity makes a claim for a top-up payment in respect of up to £8,000 only, the small donations can be collected anywhere. If the charity with more than one community building wishes to claim in respect of more than £8,000 small donations, the donations must all qualify as part of a community building amount in accordance with section 6 of the 2012 Act as amended by section 3.
	New subsection (3) of section 6 of the 2012 Act explains that the community building amount in relation to a community building for a tax year is the total sum of the small donations made to the charity in that tax year in the local authority area in which the community building is situated. The donations must be made in person. The community building amount in relation to a community building cannot exceed £8,000.
	New subsection (3A) of section 6 of the 2012 Act provides that a small donation cannot form part of the community building amount for more than one community building. A charity may have two or more community buildings in a local authority area and a small donation can only be counted towards the community building amount for one of them.
	New subsection (3B) of section 6 of the 2012 Act provides that where a small donation could be included in the community building amount for more than one community building the charity may choose which one it forms part of. However, where a donation is actually made inside a community building, it can only count towards the community building amount for that particular building.
	New subsections (3C) and (3D) of section 6 of the 2012 Act defines "local authority area" for the purposes of the Act and is self-explanatory.
	Subsection (5) repeals subsections (4) to (6) of section 6 of the 2012 Act which are no longer relevant in calculating the specified amount in respect of which a charity may claim.
	Subsection (6) amends section 7 subsection (1) of the 2012 Act as small donations no longer have to be made while a charity is running charitable activities in a community building in order to qualify as part of the community building amount.
	Subsection (7) amends section 8 of the 2012 Act which defines a 'community building' in order to reflect that small donations forming part of a community building amount no longer have to be made while a charity is carrying on charitable activities in a community building. Subsections (3) and new subsection (3A) provide that where a part of a building is used, wholly or mainly, for commercial purposes (other than the sale or supply of goods) that part cannot be a community building unless a charity carries out charitable activities in that part and when it does so the charity has exclusive use of that part.
	Subsection (8) provides a consequential amendment to section 14 of the 2012 Act (power to alter specified amount etc) as a result of amendments made to section 6 of the 2012 Act.