.png)
.png)
HMRC have published Revenue & Customs Brief 3/14 to clarify the definition of the term “student” in connection with the VAT liability of construction works to buildings that are “used for a relevant residential purpose”.
Previous definitions have been misinterpreted in some cases. The revised guidance in HMRC’s VAT Construction Manual at VCONST15360 attempts to set out the Revenue’s policy more clearly, stating:
HMRC have published Revenue & Customs Brief 3/14 to clarify the definition of the term “student” in connection with the VAT liability of construction works to buildings that are “used for a relevant residential purpose”.
Previous definitions have been misinterpreted in some cases. The revised guidance in HMRC’s VAT Construction Manual at VCONST15360 attempts to set out the Revenue’s policy more clearly, stating:
“The term ‘student’ in this context refers to a person undertaking a course of educational study or instruction. It covers any person who is receiving education or vocational training from a university (or a centrally funded higher education institution or a further education institution) or from any other supplier who is providing similar, or the same type of, education or vocational training to a similar, or the same, academic standard.”
The guidance goes on:
“People who attend classes, often badged as ‘summer schools’, which may offer a life-enhancing experience and promote greater cultural or spiritual awareness but the subject matter of which falls into the category of hobbies or leisure interests (for example pottery workshops, art or literature appreciation courses, etc.) as opposed to receiving educational or vocational training to an academic standard, will not qualify as ‘students’.”
Individuals attending religious retreats will not qualify as students.
