VAT from Jan 2025

[Zizzagaaaaaww]

Just in case you haven't heard.
VAT will be applied to private school fees from Jan 2025

Also advanced payments will also be taxed

Advanced payments

https://x.com/DanNeidle/status/1817964873512366552?t=6GTLXlCkM7EY-p8eUU6Msw&s=19

Is this a joke 😂

No 😔

From 1 January 2025 all education services and vocational training supplied by a private school will be subject to VAT at the standard rate of 20%.

GOOD.

Screenshot

@Zizzagaaaaaww

Also advanced payments will also be taxed

Again, GOOD.

I see the Tory press are squealing like the stuck pigs they are.

And we needed yet another thread about this because?

It affects such a small amount of people yet has a such a disproportionate amount of discussion.

Presumably because the date of implementation and some details have been announced today.

But they could have whinged on one of the many other threads... @SinkingVoter

We really don't need any more threads about Public school fees

Indeed relevant as we now have the date of implementation. Most schools were blaming the lack of detail or planned start date on their inability to give a clear steer to parents. I presume too early for anyone to have heard from their school re the topic and how much they plan to pass on?

That's going to be a very rush job to write complex VAT rules - will be interesting to see how well they stand up to the inevitable legal challenges. VAT on boarding fees will be particularly interesting - sounds very open to challenge given that similar services (an educational state school trip for example, or private sports training camp) will presumably be exempt.

Fees paid in advance prior to today are not caught though.

Looks like that includes private pre-school settings, and private sports/ music / dance tuition then. Bastards.

DS’ private school owns 30% of the out of hours at state schools in my local area so this should be interesting.

Now having to choose which of our children, if not both, is the one to move as the only way we could have made the VAT work for both was with the rest of the academic year to figure it out. Will be applying for state school places tomorrow. I'll never forgive Labour for this.

And no VAT planned for state boarding (which is charged).... hmmm.

So the plan is to use these taxes to fill the £20bn black hole then? Not funding new teachers for state schools? This money (however little is received) will just evaporate

@Shaketherombooga - you busy? Interested to hear your opinion...

I don't think so, the wording specifically says private school, not nursery. I think they've done it like that so it doesn't get nurseries or sports clubs.

So now all private schools which are not VAT registered must register by the end of 2024. I'm sure that will go entirely smoothly at the HMRC end (not).

How hard can it be? Every business with revenue over about £90k needs to be VAT registered. I’d expect HMRC can cope.

Can you link to this?

No they can’t. Because they’ve made it up.

Surely it means private sports, music, dance tuition, if provided in a private school setting? I thought it would just be the fees. How can they justify treating the exact same thing as offered outside school so differently?

And yet the threads keep filling up with people saying how little they care ...