Sage launches the new VAT change hub for accountants and bookkeepers
15th Jul 2020
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As part of the Chancellor’s summer statement, the Government announced a VAT change on certain good and services for businesses in the hospitality, holiday accommodation and attractions sector.
This reduction will see VAT reduced from standard rate to a reduced rate (5%). The change comes into effect on 15 July 2020 and runs until 12 January 2021. This targeted support forms part of the Government’s plan to help restart the economy and support businesses most impacted by the coronavirus pandemic. While no other changes around VAT have been announced, and only specific industries are impacted by this change, it’s important everyone understands what this means.
Businesses that sell food, non-alcoholic drinks, provide accommodation or manage attractions will have to make changes within their software for this VAT adjustment.
With Sage, there will be no need for any product updates.