VAT exemptions for eligible bodies

The Upper Tribunal decision in the case of St Andrew’s College Bradfield (the college) could have ramifications for any not for profit entity which treats its supplies as exempt from VAT on the basis that it does not distribute profits or it only passes profits to an associated non profit making body. 

Affiliation fees for sports clubs

HMRC has confirmed that the VAT extra-statutory concession allowing profit-making commercial sports clubs to treat re-charges of affiliation fees to their members as though they were disbursements, will be withdrawn from 1 April 2018.

Zero rating for children’s colouring and dot-to-dot books

From 1 April 2017, colouring and dot-to-dot books will qualify for zero rating provided the content is suitable for sale to children under 18 years old. Where such books are marketed as suitable for adults; or are held out for sale with other adult books and/or not appropriately marked as suitable for children; or  contain certain specified images, they will be standard rated.