VAT Tax Emptions are Not Just for Charities.

Date: 01/05/19

VAT Tax Emptions are Not Just for Charities.

It is widely understood that charities benefit from certain VAT concessions such as zero-rating on most print and advertising expenses. However, it is less well known that there are some concessions that can be enjoyed by other not-for-profit organisations such as arts festivals, sports clubs and professional associations run by a committee.

For instance, income earned from a fundraiser can qualify for a VAT exemption. What is more, in each financial year a club or organisation can run up to 15 identical fundraising events and every event will qualify. Should the number of events rise to 16, then none of them will benefit from the exemption.

A good example is that of a sports club or community centre running a monthly car boot sale. Funds would be generated from the fees paid by the sellers, from the entrance fees paid by the bargain hunters, and any on-site refreshments being sold by the organisation. Now some might expect to pay VAT on the associated income, but happily it is exempt!

If you have any further questions our team will be happy to advise you. Just call us on 01524 67111 to set up a meeting at your premises or in our Lancaster office.

Tim Preece FCCA

Author: Tim Preece FCCA

A former pupil at Lancaster Royal Grammar School, Tim joined Scott & Wilkinson in 1992 as a trainee after completing a degree in Maths and Economics at Leeds University and qualified as an Accountant in 1996. Tim was...

Read More

Share this article:

0 Comment

Nobody has commented yet. Why not add one?

Add your Comment

We have the ability to edit and/or delete posts and comments. Links should be relevant to the topics. Please note all comments are subject to review before inclusion.

Register to comment

Arrange your free consultation

We offer a free, no obligation consultation with one of our experienced advisors to discuss all your business and accounting requirements. Complete the request form and one of our friendly advisors will be in touch shortly to arrange your consultation.

Arrange Now

Memberships & Accreditations

When appointing a firm of accountants it is important to check that they are appropriately registered and regulated.

Our clients can be assured that Scott & Wilkinson is regulated by the Institute of Chartered Accountants in England and Wales for a range of investment business activities and is an authorised training partner.