- Doctors and healthcare professionals are receiving more queries and increased interest from HMRC.
- Most services provided by doctors’ practices are VAT free.
- Practices often ask how they can reclaim VAT they are charged, especially for large projects.
- If a practice only provides exempt medical services, they cannot register for VAT or recover input tax.
- Practices can register for VAT if they make taxable supplies, regardless of value.
- Examples of taxable supplies include dispensing drugs, medico legal services, clinical trials, car parking, and providing professional witness evidence.
- Services not related to the protection, maintenance, or restoration of a patient’s health are also taxable.
Source: deeksvat.co.uk
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
