VAT Exempt goods

VAT Exempt goods

VAT Exempt Goods

There are some goods and services that are exempt from VAT and this means that if you sell these goods, you can’t claim the VAT on the purchases or any expenses. Below is an example of goods and services that are exempt from VAT.

Food and Drink

• Meat, poultry and meats such as horse, kangaroo or crocodile
• Fish
• Vegetables and Fruit
• Cereals
• Unshelled nuts
• Pulses

Some ingredients however are registered for VAT, such as fruit juice, as this comes under beverages and fish that are kept for bait or ornamental purposes.

Animal Foods

Any foods that are used to feed animals are exempt, apart from tinned food, biscuits or feed which is the type of prepared food you feed to a pet.

Plants and Seeds If the plants and seeds are for ornamental use, or for pet birds, they are not exempt. However, anything that is grown for human consumption or which is to feed animals that aren’t pets is exempt.


Betting and any other gaming services like bingo are exempt from VAT, as are lottery ticket sales, commission on the sales and online lottery games. Cultural services like those supplied by museums, zoos or art exhibitions will not need to pay VAT either.

Sport and Charity

Sporting activities and physical education are exempt and so are charity fund raising and charitable events.

Health and Funeral

Any services provided by a health professional, such as a dentist, opticians or doctor are exempt. Funeral plans provided by an insurer and burial or cremation of deceased persons.

Property and Land

A garage or parking space which is let with premises is exempt from VAT, but spaces or garages designed specifically for parking purposes are not. Also exempt is land that has a grant or licence where parking takes place. Houseboat moorings and parking spaces that come with houseboat moorings are exempt too.

Financial Services

Financial services such as loans or managing credit, or having a savings or current account and any dealings with shares and bonds are exempt.


Subscriptions for insurance, re-insurance and insurance supplied with other goods or services as a separate element are all exempt.

The list above doesn’t include everything, it is just a snapshot of what goods and services are exempt. In order to be certain about what qualifies for non-payment of VAT we recommend that you visit an accountant.
SQK Accountants in Manchester can advise you on all your VAT matters. We aim to provide a first class service at an affordable price. Contact us by filling in the form on our contact page or telephone us on 020 8798 0657 today.

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