To VAT or not to VAT
Purchases for personal use.
As per VAT Notice 701/7 published by HM Customs & Excise, certain specialised goods and services needed by disabled people may be zero-rated for VAT - when purchased by a disabled person for domestic or personal use or by charities who provide care and facilities for disabled persons.
Please note that there is no requirement for you to be registered as disabled.
If a parent, spouse or guardian acts on behalf of a 'chronically sick or disabled' person, your supply is treated as being made to that 'chronically sick or disabled' person.
On Connevans Limited websites you are able to make an online VAT declaration, to receive zero rating for VAT purposes, when placing an order for applicable products.
Now, we have to confess that lots of people get very confused about VAT and when it does or does not have to be paid. The following interpretation may (or may not!) help you - but please remember, it is only intended as a guide not a legal interpretation!
For us to be able to zero rate a product for VAT, both the product and the user have to be eligible for VAT relief.
For goods to be eligible, we must have a declaration of design intent from the manufacturer that the goods were specifically designed for use by a person who is disabled. Where a manufacturer does not feel able to make this declaration, unfortunately VAT must be paid.
The Shipping & Order Processing charge incurs the same VAT rate as the majority of the order.
There are penalties for making false declarations. If you are in any doubt about eligibility for relief from VAT on the supply of goods or services you are buying you should get advice from your local VAT office before making the declaration - more information from HMRC available here.
Local Authority, Health Authority and corporate purchases are
not eligible for zero rating.
Against each product on the website you will see little happy VATs and sad VATs, they are our way of indicating which VAT category various products fall into. We hope the symbols prove helpful. The dual happy/sad VAT symbol appears when items may be allowed VAT relief but only in some situations ie. where bought as part of a complete system.
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VAT relief is permitted subject to the receipt of a
valid VAT declaration form. |
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VAT relief cannot be allowed for this product. |
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VAT relief is permitted, subject to the receipt
of a valid VAT declaration form, when supplied as part of a complete system; VAT relief cannot be allowed for the subsequent purchase of replacements. |
Eligibility - as per HMRC VAT notice 701/7
We can only zero rate supplies to people when they are 'chronically sick or disabled' and the goods and services are purchased or acquired for their personal or domestic use.
What does 'chronically sick or disabled' mean?
A person is 'chronically sick or disabled' if he/she is a person:
- with a physical or mental impairment which has a long-term and substantial adverse effect upon his/her ability to carry out everyday activities;
- with a condition which the medical profession treats as a chronic sickness, such as diabetes; or who is terminally ill.
It does not include a frail elderly person who is otherwise able-bodied or any person who is only temporarily disabled or incapacitated, such as with a broken limb.
HMRC VAT notice 701/7 can be read in full here
VAT on postage & delivery charges
As per HMRC rules the VAT liability on postage and delivery charges is based on the VAT liability of the order. i.e. if all or most of the order is 20% VAT then VAT is charged; conversely if all or most of the order is 0% VAT then we charge 0% on the postage & delivery charge.
Shipping to Countries outside of the UK
VAT is not charged on orders for delivery to countries outside of the UK.
Please note that it is the recipient's responsibility to pay any local country or state taxes/duty/VAT that may be due at the time of delivery.
Connevans Limited VAT number. GB210170629
