There are many opportunities for charities to take advantage of VAT reliefs.
This is true whether or not a charity is VAT registered - but is often the case that many charities pay VAT on their goods and services when they do not need to .
Many charities also fall into some of the common pitfalls relating to VAT and charities.
This product is a simple checklist that can be used to highlight those areas where further research may be required. By working through a series of questions, any point that prompts the answer 'No' indicates an area where further work may be required.
The checklist can be used by advisors to charities or by charities themselves to ensure that not only are they keeping within the VAT rules, but also obtaining the full benefit of all available reliefs
A CHARITY DOES NOT HAVE TO BE REGISTERED FOR VAT TO BENEFIT FROM MANY VAT RELIEFS
There is a companion product for charities who are registered for VAT which enables a VAT return to be calculated allowing for sales that are subject to VAT, those that are exempt and those that are outside the scope , and calculates a partial exemption computation. These are areas where many charities get it wrong - to their great cost. Look for product 1313 Charity VAT spreadsheet.
This product is a simple checklist that can be used to highlight those areas where further research may be required. By working through a series of questions, any point that prompts the answer 'No' indicates an area where further work may be required.
If an answer 'No' is prompted, then the user should look up the salient guidelines on HMRC's website, or at a VAT text book, and identify the precise parameters that apply to the particular charity and decide what action should be taken.
The checklist can be used by auditors and examiners as a part of their external scrutiny procedures.
It can be used by accountants and advisors to charities , particularly when a new client is taken on board.
It can also be used by charity trustees and managers.
A CHARITY DOES NOT HAVE TO BE REGISTERED FOR VAT TO BENEFIT FROM MANY VAT RELIEFS
There is a companion product for charities who are registered for VAT which enables a VAT return to be calculated allowing for sales that are subject to VAT, those that are exempt and those that are outside the scope , and calculates a partial exemption computation. These are areas where many charities get it wrong - to their great cost. Look for product 1313 Charity VAT spreadsheet
They can be immense.
Peter Brown & Co have used this checklist for many years with new and existing clients, and have identified some very substantial refunds due to clients.
In one case, a releif of over £120,000 was obtained. In another a relief of £67,000 was obtained. In many cases, refunds over £1,000 have been obtained for clients.
Peter Brown & Co have generated significant fees from this area of work, paid by some very grateful clients.
A CHARITY DOES NOT HAVE TO BE REGISTERED FOR VAT TO BENEFIT FROM MANY VAT RELIEFS
There is a companion product for charities who are registered for VAT which enables a VAT return to be calculated allowing for sales that are subject to VAT, those that are exempt and those that are outside the scope , and calculates a partial exemption computation. These are areas where many charities get it wrong - to their great cost. Look for product 1313 Charity VAT spreadsheet
Like many of the products on the Sorpaid shop - it is not rocket science.
Any competent accountant could develop a similar checklist with a few hours research.
But why bother - it is only £12. From 1st Jasnuaryv 2015, no VAT is chargeable.
A CHARITY DOES NOT HAVE TO BE REGISTERED FOR VAT TO BENEFIT FROM MANY VAT RELIEFS
Prices
Licence fee for 2015 version is £12
Expiry and renewal details
- Free upgrades for the life of the 2015 version (to 31/12/15)
- Update to the 2016 version (valid until 31/12/16), can be purchased from January 2016
There is a companion product for charities who are registered for VAT which enables a VAT return to be calculated allowing for sales that are subject to VAT, those that are exempt and those that are outside the scope , and calculates a partial exemption computation. These are areas where many charities get it wrong - to their great cost. Look for product 1313 Charity VAT spreadsheet
