ARTICLE · 20 FEBRUARY 2024

VAT And Private Schools

Gerald Edelman

Explore more from Gerald Edelman

VAT recently made the headlines with the Labour Party announcement that they will consider removing the VAT exemption from private school fees if they win the next election.

United KingdomTax

Richard Staunton

VAT recently made the headlines with the Labour Party announcement that they will consider removing the VAT exemption from private school fees if they win the next election.

As is often the case with these announcements there was some confusion about how this could be achieved, and many commentators assumed that charitable status would be removed. However, this does not appear to be the case with schools possibly retaining charitable status but still charging VAT.

How will the VAT exemption be removed?

Removing the VAT exemption from private schools will require a change in UK legislation.

The Directive is contained within VATA 1994, Schedule 9, Group 6. Item 1, which states that exemption applies to::

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