Zero-rating — supplies to disabled individuals

Produced by Tolley
Zero-rating — supplies to disabled individuals

The following Value Added Tax guidance note Produced by Tolley provides comprehensive and up to date tax information covering:

  • Zero-rating - supplies to disabled individuals
  • Requirements
  • Eligible customers
  • Domestic and personal use
  • Eligible goods
  • Motor vehicles for disabled people
  • Medical / surgical appliances
  • Mechanically / electronically adjustable medical equipment
  • Boats
  • Equipment and appliances designed solely for use by a disabled individual
  • More...

IP COMPLETION DAY: 11pm (GMT) on 31 December 2020 marked the end of the Brexit transition / implementation period entered into following the UK’s withdrawal from the EU. At this point in time, key transitional arrangements came to an end and significant changes began to take effect across the UK’s VAT and customs regime. This document contains guidance on subjects potentially impacted by these changes. Before continuing your research, see the Brexit — overview guidance note.

This guidance note provides an overview of the rules relating to the application of the zero-rate of VAT to certain supplies of goods / services to disabled people.


The following conditions must be satisfied before a supply of goods / services can be zero-rated under these provisions:

  1. the customer meets the eligibility criteria (see below)

  2. the goods are to be used for the domestic or personal use of the eligible customer

  3. the goods / services meet the eligibility requirements (see below)

VATA 1994, Sch 8, Group 12; as amended by SI 1997/2744, SI 2000/805 and SI 2001/754; VATA 1994, s 30

The supplier is responsible for ensuring that the goods / services supplied can be zero-rated. If zero-rating is dependent on the designers' intention, and the seller did not design the product, the seller should obtain written confirmation from the designer / importer / manufacturer that the goods meet the eligibility requirements (see below). If the goods have not been specifically designed for use solely by disabled people, they cannot be zero-rated. Therefore if the manufacturer does not claim that the goods meet these conditions, they cannot be zero-rated under these provisions.

Eligible customers

Eligible goods can be supplied at the zero-rate to the following customers:

  1. chronically sick or disabled people - the goods must be purchased / acquired for their domestic or personal use. A chronically sick or disabled person includes the following:

    1. individuals with a mental or physical impairment which is long-term and has a substantially adverse effect on their ability to

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