In NHS Ayrshire & Arran Health Board v HMRC [2025] UKFTT 502 (TC) (1 May) the FTT found that the construction of a secure mental health unit for children did not qualify for zero-rating as it was classified as part of a ‘hospital or similar institution’.
The appellant sought non-statutory clearance that zero-rating applied to the construction services and materials used in the construction of a ‘bedroom wing’ for a National Secure Adolescent Inpatient Service (NSAIS) (a secure mental health unit) in the grounds of a hospital.
The relevant provisions of the law are VATA 1994 Sch 8 Group 5 item 2(a) notes (4) and (10). This allows for the zero-rating of services and materials used in constructing a building to be used for a ‘relevant residential purpose’; however crucially ‘hospitals and similar institutions’...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
In NHS Ayrshire & Arran Health Board v HMRC [2025] UKFTT 502 (TC) (1 May) the FTT found that the construction of a secure mental health unit for children did not qualify for zero-rating as it was classified as part of a ‘hospital or similar institution’.
The appellant sought non-statutory clearance that zero-rating applied to the construction services and materials used in the construction of a ‘bedroom wing’ for a National Secure Adolescent Inpatient Service (NSAIS) (a secure mental health unit) in the grounds of a hospital.
The relevant provisions of the law are VATA 1994 Sch 8 Group 5 item 2(a) notes (4) and (10). This allows for the zero-rating of services and materials used in constructing a building to be used for a ‘relevant residential purpose’; however crucially ‘hospitals and similar institutions’...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes: