Can the scout group claim back the VAT on buying a new mini bus?

[mckenzie]

We are a charitable organisation. Should we be able to claim the VAT back if we buy a brand new mini bus can anyone tell me please?

TIA

It may be worth a phonecall to HMRC. There is a section on their website about when VAT can be claimed back here Part of the section reads....

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When you cannot reclaim VAT

There are a number of situations where you cannot reclaim VAT that you have paid.

You cannot reclaim VAT paid for goods and services that are used for non-business activities. This includes:
? goods and services that are bought for your personal use
? cars that are not used exclusively for business purposes (and any fitted accessories and delivery)
? goods and services for non-business use bought by charities or not-for-profit organisations
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The last part sounds like you can't claim, but I think it's well worth checking what they class as 'non-business use'. Good luck

I think that unless the group is registered for VAT, they won't be able to claim back the VAT.

I'm assuming that the charity is VAT registered, and that you have an accountant to do VAT and tax returns. In which case a phonecall to your accountant is probably the best idea as charity accounting is fairly complex.

I'm assuming that the charity is VAT registered, and that you have an accountant to do VAT and tax returns.

Do you know what a Scout Group is ?

I'm afraid the answer is no anyway as both the other posters are right: you have to be in business to reclaim VAT and you have to be registered to reclaim VAT (and you have to be in business to register for VAT!). Not worth a phone call unless you think you may be in business, in which case you need LOTS of really vital advice NOW and you should contact the Scout Association.

You will need a Small Bus Permit.

Thanks very much guys. Best we buy a decent secondhand one!