Supplying Equipment to a Disabled Person

Q: My VAT registered company is about to supply some equipment to a number of disabled persons for use in their home. I understand there are various supplies to people with disabilities which do not have VAT charged on their supply. Is this true?

Annie, Worthing

A: Unfortunately there is no blanket exemption from VAT for disabled persons. When VAT was introduced into the UK it was agreed that disabled persons should not have to incur the tax when buying items designed solely for their use or when having equipment adapted.

Therefore, if you supply certain goods or services to disabled people then the supply can be zero rated, and no VAT needs to be charged. Specific conditions must be adhered to in order for these supplies to qualify for zero-rating. These conditions include the design or adaptation of the item, the supply being made to a disabled person for their domestic or personal use and the receipt of an eligibility declaration form.

Goods supplied such as medical and surgical appliances, adjustable beds, chair lifts, Emergency alarm call systems may qualify for relief.

Examples of services qualifying for relief include installing zero-rated equipment which has been designed solely for use by a disabled person, adaptation goods to suit a disabled person condition and the repair and maintenance of equipment designed solely for their use.

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