Vat treatment of charity business income

Vat treatment of charity business income

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I have recently taken on an unincorporated charity as a client. I believe they undertake a couple of business activities ie running a conference and training courses both of which participants pay to attend. The objects of the charity are to promote knowledge and understanding of a particular medical condition within the healthcare community hence the annual conference and courses.

My question is whether vat should be charged on the fees received for the conference and training courses.

Thanks for your help

Replies (6)

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By duncanedwards
17th Sep 2014 23:00

I would have thought so .

You say they are currently undertaking these activities; how are the fees currently being treated?

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By mrme89
17th Sep 2014 22:39

Providing the 'business activities' are above the vat threshold, sounds like vat is chargeable.

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By The VAT Doctor
17th Sep 2014 23:08

Possibly

There is a good chance that the courses are exempt if the provider is an 'eligible body' and the courses amount to 'education'.

Is the conference just another course?  If so, see above, but the default on a conference is VATable

As with most charity related issues, the issues are far from easy!

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By karon
17th Sep 2014 23:21

Eligible body
So is a charity definitely an eligible body? It does not distribute any profit but the charity does things other than just run courses eg it give out small grants which looks to rule it out as an eligible body as per vat notice 701/30

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