V3.410 Particular goods and services

Part V3 Supplies, acquisitions and imports

V3.410 Particular goods and services

V3.410 Particular goods and services


There are many areas in relation to which the question of business/non-business use arises. In certain of these areas, agreement of the treatment of input tax has been reached by legislation, case law, concession or the policy of HMRC. Except in the case of legislation, these agreements are not binding on either HMRC or the taxpayer.

Accountants' fees

HMRC do not require the input tax incurred on accountants' fees relating to both personal and business taxation advice to be apportioned, unless the advice clearly relates to a non-business matter, eg inheritance tax1.


Input tax credit has been allowed in respect of certain items of clothing purchased by a barrister2, a wig purchased by a jazz musician3, and clothing purchased by the partner of a retail shop to replace items damaged while working in the shop4. An apportionment has been ordered in relation to a mink coat purchased by an author to impress the people with whom she was negotiating5. The tribunal disregarded the fact that the author was kept warm by the coat as this was incidental to the main purpose, but considered that a duality of purpose arose once the need to impress ceased. However, it has generally been held that the need to dress to a particular standard does not give rise to an input tax deduction6. There may be scope for deduction, at least in part, where it can be demonstrated that there is no private use7.

VAT on the provision of uniforms

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