VAT Relief

VAT relief for the disabled is a government scheme that allows the zero-rating of goods if certain conditions are met.

Below is some information and our understanding of the HMRC rules relating to VAT relief and disability.

  • A product is purchased by an individual or on behalf of that individual by a third party or charity and that individual is chronically/terminally ill/disabled.
  • Someone with a temporary disability due to a broken limb, for example, cannot claim VAT relief.
  • The product being purchased must be designed specifically for a disability or illness.
  • A product in general use that assists with someone’s disability does not qualify.
  • A product that is designed for a disability but can be used generally will still qualify when purchased by a qualifying individual.

Strictly speaking VAT is charged but at 0% rather than the prevailing standard rate – currently 20%.

How to claim VAT relief on a purchase.

If the benefactor of the purchase meets the criteria required and the product purchased is determined as appropriate.

Please note, this is a brief explanation and our understanding of the HMRC rules relating to vat relief and disability. If you are in any doubt as to whether your transaction qualifies for VAT relief you should read the HMRC’s guidelines here before making your purchase.