Tax exemption
Zero rating goods and services bought with charitable or donated funds
Requesting the zero rate VAT treatment
In accordance with schedule 8, Group 15 of the VAT Act 1994, certain supplies of qualifying goods and services made to an eligible body, or to a person for donation to an eligible body, are zero-rated under several conditions.
Please refer to VAT Notice 701/6 (Charity Funded Equipment for medical and veterinary uses) for further information on these conditions.
Organisations requesting VAT free purchases are required to provide a valid certificate of zero rating or other written evidence proving their eligibility (please refer to section 8 of the above VAT notice which provides further guidance on eligibility).
Such documents can be sent via email or webform.
The certificate of eligibility for zero-rating should include the following:
- It should be addressed to Pearson Education Limited;
- Proof of eligible body status should be provided (e.g. research institutions whose activities are not carried on for profit, charitable institution, health bodies or any other qualification as per section 3 and 6 of the VAT Notice 701/6);
- A description of the goods or services qualifying for VAT zero-rating (e.g. medical or scientific equipment, computer equipment and certain software or any other goods/services as described under section 4.1. of the VAT Notice 701/6)*;
- The purpose of the purchase (e.g. medical or veterinary research, training, diagnosis or treatment as per section 4.3. of the VAT Notice 701/6);
- A declaration that the purchase of goods or services are paid by way of charitable or donated funds;
- Certificate must be dated and signed.
*The goods/services described in the present document are the responsibility of Pearson to check if these categorise as qualifying goods or services in accordance with the schedule 8, Group 15 of the VAT Act 1994.