VATupdate
United Kingdom

Share this post on

VAT Exemption Removed for Private School Fees and Boarding Services Starting January 2025

  • The brief updates on VAT changes for private school fees after the Chancellor’s announcement on 29 July 2024.
  • It is relevant for operators of fee-paying private primary and secondary schools and sixth-form colleges.
  • From 1 January 2025, education and vocational training services by private schools will be subject to a 20% VAT.
  • Boarding services by private schools will also incur a 20% VAT.
  • Fees invoiced or paid on or after 29 July 2024 for terms starting after 1 January 2025 will be subject to the new VAT rate.
  • Fees paid before 29 July 2024 will follow the VAT rules applicable at the time of payment.
  • Draft legislation and explanatory notes on these changes are available.
  • Private schools not currently registered for VAT should wait for further guidance from HMRC.
  • Schools making some taxable supplies may voluntarily register for VAT according to normal rules.

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.

Sponsors:

Pincvision
VAT news

Advertisements: