In a message dated 18/12/00 11:16:46 GMT Standard Time,
[log in to unmask] writes:
<< The final paragraph of this section states that the supply must be made to
the disabled person and that payment must be made from the individual's own
funds.
Therefore you should continue to charge VAT when the software is supplied to
and paid for by the Education Authority."
>>
Obviously you could explain that these *are* the student's funds,
administered by the LEA. However, as I've said before, unless the total
equipment cost is more than £3,500 before VAT it makes no difference trying
to 'save VAT' as it's just going round in a circle from one government
department to another, no one benefits or loses and trying to 'save' VAT just
takes time that could better be spent supporting students.
C&E admitted to me that they could see that it was government money and there
was no net gain from applying VAT to DSA purchases but, of course, they feel
that they look good the more they hand over to the Treasury, it increases
their budget and no one ever got fired for saying "No" at C&E.
Can anyone explain the benefits to the majority of students, whose DSA costs
do not approach the maximums, of not paying VAT on the equipment?
Mick Trott
UKASSESSMENTS
Tel 01386 792617
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