The Charity Tax Group (CTG) has expressed its disappointment that HMRC has not published the revised guidance on the VAT rating of charities’ direct mail supplies that HMRC promised would be issued ‘in the new year’.
The Charity Tax Group (CTG) has expressed its disappointment that HMRC has not published the revised guidance on the VAT rating of charities’ direct mail supplies that HMRC promised would be issued ‘in the new year’.
HMRC had previously announced that, from 1 October 2014, zero rating would only apply to the production of direct marketing material, rather than the entire package. HMRC subsequently agreed to postpone the change until 1 April 2015, having accepted that its original guidance was unclear.
CTG chairman, John Hemming, said: ‘HMRC has failed to publish guidance on VAT and direct mail, and failed to resolve outstanding concerns that the retrospective concession, which we negotiated, has been narrowed to exclude unaddressed mailings and data correction services in direct contradiction to earlier promises. It is unsatisfactory that charities have to operate according to new rules from 1 April without formal notice from HMRC of their responsibilities.
‘In the light of HMRC’s refusal to discuss matters further, the only course of action open to CTG is to publish the exchange of correspondence with HMRC and to warn our members to:
The Charity Tax Group (CTG) has expressed its disappointment that HMRC has not published the revised guidance on the VAT rating of charities’ direct mail supplies that HMRC promised would be issued ‘in the new year’.
The Charity Tax Group (CTG) has expressed its disappointment that HMRC has not published the revised guidance on the VAT rating of charities’ direct mail supplies that HMRC promised would be issued ‘in the new year’.
HMRC had previously announced that, from 1 October 2014, zero rating would only apply to the production of direct marketing material, rather than the entire package. HMRC subsequently agreed to postpone the change until 1 April 2015, having accepted that its original guidance was unclear.
CTG chairman, John Hemming, said: ‘HMRC has failed to publish guidance on VAT and direct mail, and failed to resolve outstanding concerns that the retrospective concession, which we negotiated, has been narrowed to exclude unaddressed mailings and data correction services in direct contradiction to earlier promises. It is unsatisfactory that charities have to operate according to new rules from 1 April without formal notice from HMRC of their responsibilities.
‘In the light of HMRC’s refusal to discuss matters further, the only course of action open to CTG is to publish the exchange of correspondence with HMRC and to warn our members to: