Can grant recipients advertise the funders contribution?
In general they should not. Although, when the funder is a public body this is often ignored. However, particularly when the funder is a commercial business that requires a charity to advertise its contribution (for example, by a prominent placement of the funder’s logo), this should be treated as sponsorship or advertising. This means that VAT may be payable. To avoid this, a charity should make sure any condition of grant that requires acknowledgment does not go too far so that the charity is advertising the funder. Mere acknowledgment of the grant on published material and in a charity’s accounts is permitted.
