VAT and Making Tax Digital

VAT – Vatable Income

The appropriate VAT rates on income are listed below:-

Standard rated

• Bar Takings
• Catering
• Juke Box, Video Machine
• Telephone Coin Boxes
• Admission Charges for Entertainment; disco, karaoke but see also exempt.
• Sales of Furniture and Equipment
• Subscriptions for Social
• Visitor and Temporary Members
• Advertising (see also exempt)
• Sale of furniture and equipment

Zero rated – VAT liable at 0%

• Books, Handbooks etc

Exempt – Not taxable but may affect ability to recover VAT on expenditure:

• Small Scale Bingo including Session and Participation Charges
• Lotteries including Raffles, 200 Clubs and Totes
• Interest, Dividends etc.
• Gaming machine income; but subject to Machine Gaming Duty
• Admission Charges for live Entertainment of a cultural nature
• Pool and Snooker Charges to Members

Exempt but option to tax available:

• Rental Income
• Hire of Hall for Meetings, Conferences etc.

Outside Scope of VAT – No VAT is chargeable:

• Donations
• Grants

For further details on vatable and non-vatable items H M Revenue & Customs publishes a number of leaflets which are obtainable from your local VAT office:-

– 701/5 Clubs and Associations
– 701/27 Bingo
– 701/28 Lotteries
– 701/45 Sports and Physical Education