VAT Archives - Potts & Co

Jun 12 2026

Public EV Charging Standard-Rated

By admin Electric Cars, HMRC, Potts & Co Accountancy & Business Advice News, VAT

HMRC has reconfirmed that supplies of electricity for charging electric vehicles(EVs) at public EV charging points is standard-rated for VAT purposes. Electricity supplied at public EV charging points is subject to VAT at the standard rate of 20%, rather than the reduced 5% domestic rate that often applies to home…

Jun 10 2026

Temporary Summer VAT Relief

By admin HMRC, Potts & Co Accountancy & Business Advice News, VAT

The Government has announced a temporary VAT reduction this summer aimed at helping families with the cost of school holiday activities. Under the new 'Great British Summer Savings' scheme, the standard VAT rate of 20% will be reduced to 5% on selected family-focused goods and services between 25 June and…

Mar 12 2026

Private Hire Taxis Excluded From VAT TOMS

By admin HMRC, Potts & Co Accountancy & Business Advice News, Tour Operators’ Margin Scheme (TOMS), VAT

From 2 January 2026, suppliers of most standalone private hire and taxi journeys can no longer use the Tour Operators’ Margin Scheme (TOMS). Previously, some private hire operators, including certain app-based platforms acting as principal in supplying the journey, applied the TOMS to account for VAT only on the difference…

Nov 10 2024

VAT Exemption Removed From Private School Fees

By admin Budget Update, Education, HMRC, Potts & Co Accountancy & Business Advice News, VAT

Private schools will need to register for VAT and charge output VAT on education and boarding services when the exemption that currently applies is removed from 1 January 2025 All education and boarding services provided by a private school or connected person will be subject to VAT at the standard…

Jun 10 2024

New VAT Compliance Test For CIS

By admin C.I.S., HMRC, Potts & Co Accountancy & Business Advice News, VAT

HMRC has issued guidance on various changes to the existing construction industry scheme (CIS) rules. If you are a sub-contractor, obtaining gross payment status (GPS) allows you to receive full payments from your customers without tax deducted. To achieve GPS you need to prove that you or your business: •…

Apr 01 2024

VAT On Energy Saving Materials

By admin Energy-Saving Materials (ESMs), HMRC, Potts & Co Accountancy & Business Advice News, VAT

The zero rate of VAT has been extended to include the installation of additional energy-saving materials (ESMs) from 1 February 2024. The installation of certain specified energy-saving materials (ESMs) in residential accommodation is zero rated for VAT. The more common ESMs include: • controls for central heating; • draught stripping;…

Mar 15 2024

VAT Registration Threshold Raised

By admin Budget Update, HMRC, Potts & Co Accountancy & Business Advice News, VAT

The earnings threshold above which businesses must register for and start charging VAT has been increased. Effective from 1 April 2024, the taxable turnover above which a business is required to register and account for VAT will be increased from £85,000 to £90,000. This is the first change to the…

Dec 02 2023

Submit VAT Claims Digitally For DIY House Builds

By admin HMRC, Potts & Co Accountancy & Business Advice News, Property, VAT, VAT Homebuilders Scheme

Individuals who build their own home, or complete part of the build project themselves, are entitled to reclaim the VAT paid on materials under the VAT Homebuilders Scheme. When engaging builders and contractors to build your home, their labour and materials are zero-rated, so the VAT homebuilders scheme puts the…

Jun 07 2023

VAT On Land & Buildings

By admin HMRC, Option To Tax (OTT), Potts & Co Accountancy & Business Advice News, Property, VAT, Welsh Land Taxes

When purchasing commercial premises you need to know whether VAT will be added to the price as the stamp duty land tax charge (or similar taxes in Wales or Scotland) is calculated on the VAT-inclusive value. Most older commercial buildings will be exempt from VAT but not if the owner…

Jun 06 2023

VAT On Work In Pharmacies

By admin HMRC, Pharmacies, Potts & Co Accountancy & Business Advice News, VAT

For a medical service to be exempt from VAT it must generally be performed by a registered health professional or a staff member who is directly supervised by a registered health professional. Pharmacists can also deliver VAT-exempt medical services but until recently that exemption did not apply to services delivered…

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