Charitable pauses
13 September 2012
When do good causes have to cough up to HM Customs? This article dispels the myth that all the income and expenditure of a charity is exempt from VAT.
If I had been given £1 for every VAT question I’ve been asked about charities, I’d be a rich man! The basic misapprehension concerning VAT and charities is that all supplies made by charities are exempt from VAT and all supplies of goods or services made to a charity are also free from any VAT charge. This is not correct.
In general, the normal vat rules apply...