Incorrect VAT Classifications
Posted on 16 January 2014 by financeschools-mailbox@devon.gov.uk
We have been informed by Revenue and VAT team that they have encountered a number of errors recently by schools using the incorrect VAT classifications on their banking forms and also when raising CT10/3’s.
A list of the correct VAT classifications highlighting the main areas of concern is listed below:
Invoices to Babcock:
- Staff secondments (lead teacher time, wages, supply cover etc) – 6
- Staff expenses – 9
- DAPH charges for attending meetings – 6
- TISP – 9
- KS1 / moderation – 9
- EMA funding – 9
- Traveller support – 9
Supply cover charged to a University – 9
Recovery of costs from University for teaching staff – 9
School meals provided to academy schools – 6
Catering / refreshments provided generally – 6
Pre-school charges / nursery charges – 8 (exempt)
Breakfast clubs / after school clubs – 9
Cygnets – 9
Hall hire / room rental / classroom hire (non-sporting) – 8
Hire of computer suites – 6
Refreshments – 6
Sports lettings – 6 if for less than 10 sessions
Sports lettings – 8 if for 10 sessions or more (i.e. a block booking)
Hire of equipment – 6
Leases of land / rental income / most periodical rentals – 8
Leasing of County farms – 9
Leases of car parking – 6
Utilities associated with a lease (gas, elec, water, cleaning etc)
If simply a proportion of costs – 8
If separately metered then:
- Gas, elec – 6 (or could be the reduced rate of 5% if it’s a small school)
- Water – 7
- Rates – 9
- Cleaning / security / caretaking /waste / phones etc – 6
Photocopying – 6
Printing – 6 (but may be 7 if printing a book, booklet or leaflet)
Books / leaflets – 7
Training provided / charges for attending seminars & workshops provided by DCC – 8
Should you have any queries please contact the VAT team on 01392 382410/ 382842.
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