Does a charity have to pay VAT?
It is a popular misconception that charities can benefit from zero rating on all goods and services. Charitable organisations may be eligible for the relief of VAT on some specific items and services, namely: • advertising • fundraising and printed materials • disability related goods • equipment for chronically sick and disabled people • vehicles (adaptation) and medical and scientific equipment • medicinal products • drugs and chemicals • rescue and first aid equipment and • some building works.