VAT rebate

Invasion

OP, contact the company before purchasing and ask what their policy is on VAT exemption, I got VAT off my topper, as it's something that I wouldn't have needed had I not had the problems that I do.

Indie_Kid

Tim_Deegan wrote: »

It isn't irrelevant, it's a good guide to go by. If your dissability isn't serious enough to qualify for DLA, then it is unlikely that you would qualify for a VAT exemption.

That's incorrect. I know many people who aren't entitled to DLA; but are entitled to VAT exemption - I was one of those for almost a year.

Many people have serious disabilities but don't qualify for DLA.

Tim_Deegan

21Twinkle wrote: »

Post 13 - I did use the "quote"

I think there was a glitch with MSE, because it wasn't showing up, but is now.

Tim_Deegan

sh1305 wrote: »

That's incorrect. I know many people who aren't entitled to DLA; but are entitled to VAT exemption - I was one of those for almost a year.

Many people have serious disabilities but don't qualify for DLA.

If someone has a dissability that would mean that they have extra expense for special equipment, activities, etc, then they would qualify for DLA. There are different levels, and the severity of the dissability dictates the level of DLA you receive.

You would most likely find that if the people you mentioned actually contacted Customs & Excise to ask them, then they shouldn't have actually received the exemption.

Far too many retailers are using the VAT exemption as an advertising ploy, and are knocking off the VAT when they shouldn't be in order to get a sale. This could drop the buyer in it with Customs & Excise if they investigate the seller for giving out too many exemptions.

Tim_Deegan

Invasion wrote: »

OP, contact the company before purchasing and ask what their policy is on VAT exemption, I got VAT off my topper, as it's something that I wouldn't have needed had I not had the problems that I do.

It isn't up to the company, the rules are set by Customs & Excise. However many retailers bend those rules.

JasonLVC

The legislation is contained within group 12, Item 2. it states :-

"Zero-rating applies to supplies made to a handicapped person for domestic or his personal use; or to a charity for making available to handicapped persons by sale or otherwise for domestic or their personal use, of:

(1) medical or surgical appliances designed solely for the relief of severe abnormality or injury (VATA 1994, Sch. 8, Grp. 12, item 2);

(2) electrically or mechanically adjustable beds"

Taking this at face value, there is no scope for a matress to be zero rated as it is neither eletrical or mechanical in nature, nor adjustable but looking at case law :-

"A company manufacturing physiotherapy products designed a (height adjustable) bed with design features to relieve back pain. HMRC blocked zero-rating on the grounds that the beds could be used by anyone and were not designed for invalids. The tribunal disagreed, the beds were not designed for normal sleep or rest but for a special purpose: the possibility that non-invalids would use them was not conclusive. Zero-rating was allowed (Niagara Holdings Ltd [1995]).

Although that above case involved a mechanically adjustable BED rather than just a matress it is saying look at the purpose first and then look at the buyer. If the purpose is to aid an ailment and the buyer is 'properly' disabled then zero rating applies.

If the matress is just a memory foam matress then it fails both tests (as anyone can buy them). If the matress is a TEMPUR matress, these are deemed to be for a medical purpose and these can be purchased at the zero rate of VAT if you sign a delcaration confirming you are disabled and the tempur matress will ease your ailment. (I know anyone can buy Tempur matresses also but they are specifically DESIGNED for disabled people, whereas the SilentNight matress in Argos isn't.

There may be other brands of matress which perform the same job as a Tempur matress, but you cannot have a topper or bog-standard matress/memory foam matress zero rated generally.

At the end of the day, the supplier takes the risk. if you sign the form to say you are disabled and you are not then that is the suppliers problem. They could write to you in years to come and say you lied, but you're under no obligation to pay the VAT. They would have to sue you for it which seems a bit excesive for a few hunded quid so you'll likely get away with it either way.

Indie_Kid

Tim_Deegan wrote: »

If someone has a dissability that would mean that they have extra expense for special equipment, activities, etc, then they would qualify for DLA. There are different levels, and the severity of the dissability dictates the level of DLA you receive.

You would most likely find that if the people you mentioned actually contacted Customs & Excise to ask them, then they shouldn't have actually received the exemption.

Far too many retailers are using the VAT exemption as an advertising ploy, and are knocking off the VAT when they shouldn't be in order to get a sale. This could drop the buyer in it with Customs & Excise if they investigate the seller for giving out too many exemptions.

What you're saying is untrue.

I know many people who can't get DLA because the DWP beleives their disability doesn't require extra help. However, they ARE entitled to the VAT exemption on the basis that they're either registered as disabled or fit the criteria for the definition of disability.

Not every disabled person has extra expenses.

JasonLVC

sh1305 wrote: »

What you're saying is untrue.

I know many people who can't get DLA because the DWP beleives their disability doesn't require extra help. However, they ARE entitled to the VAT exemption on the basis that they're either registered as disabled or fit the criteria for the definition of disability.

Not every disabled person has extra expenses.

The legislation still refers to people being "Handicapped", rather than the much more PC 'disabled' or 'disadvantaged', etc.

In VAT law, 'Handicapped' means chronically sick or disabled (VATA 1994, Sch. 8, Grp. 15, Note (5)). Translated into English :-

A person is 'chronically sick or disabled' if they either:

• have a physical or mental impairment that has a long-term and severe effect on their ability to carry out everyday activities
• have a condition that doctors treat as a chronic sickness - like diabetes, for example
• are terminally ill

A person with a temporary injury like a broken leg would not qualify, nor would a frail older person who is otherwise well and not disabled.

So what benefits or income one earns doesn't really come into it. What really matters is just how disabled (or handicapped;)) you really are. Being in a wheelchair for 6 months due to a road accident doesn't entitle you to be disabled for VAT purposes. Feeling a bit depressed due to SAD or becuase you've lost your Mum isn't depresion whereas severe depression would be, etc.

Tim_Deegan

sh1305 wrote: »

What you're saying is untrue.

I know many people who can't get DLA because the DWP beleives their disability doesn't require extra help. However, they ARE entitled to the VAT exemption on the basis that they're either registered as disabled or fit the criteria for the definition of disability.

Not every disabled person has extra expenses.

Read post 27 which goes into a great deal of detail about the legalities. If you don't have a disability that the mattress or bed isn't designed to help, then you do not qualify for VAT exemption. It appears that the shop that gave you VAT exemption were breaking the law. As I said previously, too many sellers will use VAT exemption to get a sale when the buyer doesn't qualify.

Tim_Deegan

JasonLVC wrote: »

If the matress is just a memory foam matress then it fails both tests (as anyone can buy them). If the matress is a TEMPUR matress, these are deemed to be for a medical purpose and these can be purchased at the zero rate of VAT if you sign a delcaration confirming you are disabled and the tempur matress will ease your ailment. (I know anyone can buy Tempur matresses also but they are specifically DESIGNED for disabled people, whereas the SilentNight matress in Argos isn't.

I was told by someone at HMRC that although Tempur were originally marketed as designed for the disabled, that they wouldn't accept all cases, and would investigate any suspect claims.