If a club or association is in business, registered for VAT and making taxable supplies then it can usually reclaim as input tax any VAT which is charged to it in order to make those supplies, provided that it holds the necessary evidence. This is usually a valid tax invoice, although other documents are also acceptable. For a full description of the recovery of input tax see Division V3.4.
Certain types of expenditure will be excluded from VAT recovery by their nature. For details of input tax which is excluded from credit see V3.440鈥揤3.450. Included within this bracket is VAT on business entertainment (see V3.446) and most cars (see V3.443).
Any VAT incurred for the purpose of a club or association's non-business activities is not input tax and cannot be recovered.
Whether a club or association's activities are business or non-business is discussed at V6.189 above.
For discussion of a business purpose in the context of input tax recovery see V3.405A鈥揤3.410.
Web page updated on 17 Mar 2025 13:36
