Care homes throughout the UK should be able to save thousands of pounds on the PPE that they purchase, say leading tax and advisory firm Blick Rothenberg.
Alan Pearce a VAT partner at the firm said: “The extension of this VAT relief for a further three months to 31 October 2020 has been enacted using EU provisions that allow for changes to the UK VAT rate for emergency health reasons.”
He added: “It means that when care homes purchase PPE, the supplies will not add VAT to the purchase price.”
Pearce said, “The ‘zero rate’ for PPE will assist the health sector in general and in particular care homes who are often not able to recover VAT.
“In addition, any other businesses that are getting back to work and find that they have to buy PPE for staff and to protect customers and are not able to recover VAT on their costs in full, will also benefit.”