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Readers’ forum: VAT relief on goods sent abroad by charity

12 September 2022
Issue: 4856 / Categories: Forum & Feedback
Charity VAT relief

One of my clients is a medium-sized charity that is not registered for VAT.

The charity intends to purchase £200 000 of blankets and bedding that will be shipped overseas to help with poverty relief in one particular country.

My client has asked the UK supplier not to charge VAT as the goods will be exported out of the UK but the supplier has refused. Is this correct?

I wonder if alternatively my client can register for VAT and claim £40 000 input tax on these goods? I guess not because these items are being donated rather than sold.

Taxation readers’ thoughts would be very much appreciated.

Query 20 002 – Charity Clive.


Charity does not meet definition of overseas person.

If the UK supplier is responsible for exporting the goods as part of their supply to the charity (and does in fact export them) they would...

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