Protective equipment (VAT Notice 701/23) (2024)

FAQs

Is there VAT on safety equipment? ›

If you are buying Boots or Helmets to give to employees you are required to pay Vat (and then reclaim it.) If you are buying for your own use, you are not required to pay vat, the other exemption is if you buy to sell on, you don't pay vat.

Simply put, if you're ordering safety boots for your own work use - you are exempt from paying VAT. If you are an employer purchasing safety boots for your employees, then this exemption does not apply and you should pay VAT at the prevailing rate.

Current VAT Rules allow Safety Boots and Safety Helmets to be sold with a zero rate of VAT for personal purchases. However if you are buying these items to give to employees you are required to pay VAT and then reclaim it.

Therefore, VAT will be due on the whole amount of salary sacrificed in exchange for the bicycle and related accessories, even if a Helmet is included in the package being hired by the employee. Did this answer your question?

The end date for the temporary VAT zero rating has been changed from 31 July 2020 to 31 October 2020.

Cultured milk. Brown wheaten meal. Eggs. Edible legumes and pulses of leguminous plants.

If your shoes qualify as “protective clothing” (slip resistant shoes are certainly protective!) and you are required to purchase them as a condition of your employment, and not normally worn outside of work, you can deduct the cost of them from your taxes!

Every employer shall ensure that suitable personal protective equipment is provided to his employees who may be exposed to a risk to their health or safety while at work except where and to the extent that such risk has been adequately controlled by other means which are equally or more effective.

Visors and ear defenders bought separately are subject to VAT. Likewise, if you are buying safety footwear or helmets to sell on, they are zero-rated. BUT, if you are a buying safety footwear or helmets to supply to employees, you will pay VAT and claim this back in the normal way.

Why are stickers not allowed on hard hats? ›

Hard hats require regular inspections to check for cracks, dents, damage, wear and the like. Stickers can mask the damage or weakness in the shell, causing the person inspecting it to deem the hard hat in good working order when it's not.

Protective helmets for wear by someone driving or riding a motor cycle are charged a zero rate of VAT. This zero rate extends to protective boots and helmets for industrial use and pedal cycle helmets. Detailed guidance on the scope of the zero rate is published by HM Revenue & Customs.

motorcycle helmets are zero-rated – see section 3. pedal cycle helmets are zero-rated – see section 4. children's car seats and travel systems are reduced-rated at a rate of 5% VAT – see section 5.

Generally, optical services are exempt from VAT. However, the supply of goods, such as spectacles, is taxable. Opticians typically make mixed supplies of exempt services and taxable goods.

Employers can continue to recover VAT on the purchase of the bicycle and associated equipment. Employers who have provided bicycles under deduction from salary arrangements are unaffected by the judgment as payments received from employees have always been subject to VAT and will continue to be so.

If your total employment-related expense claims are $300 or less, receipts and written evidence are not required. If you claim more than $300, you may be required to produce written documentation for each individual expense, not only those that occur after the $300 limit is reached.

Uniforms, caps, or other clothing worn solely to identify a person as an employee would not be considered PPE. Hats, long sleeves, long pants or sunscreen, while not defined as PPE, should be considered for protection against heat, cold, sun or insect exposure.

Clothing is not considered PPE if it is: • A uniform provided for the primary purpose of presenting a corporate image. Ordinary working clothing. 'Protective clothing' provided in the food industry primarily for food hygiene purposes.

You cannot claim tax relief for PPE. If your job requires you to use PPE your employer should either: give you PPE free of charge. ask you to buy it and reimburse you the costs.

You can reclaim VAT paid on goods or services bought before you registered for VAT if you bought them within: 4 years for goods you still have or goods that were used to make other goods you still have.

How far back can a VAT investigation go? ›

How far back can HMRC investigate VAT? HMRC can only inspect records going back 4 years unless the inspection identifies fraudulent activity. If fraud is suspected, HMRC can inspect records going back 20 years.

Other ways to prevent your company from paying VAT are to avoid getting your customers to purchase materials themselves, not taking large one-off payments, and operating on fewer days a week.

VAT law states that you must be 'chronically sick or disabled' to qualify for VAT relief. A person is 'chronically sick or disabled' if they either: have a physical or mental impairment that has a long-term and severe effect on their ability to carry out everyday activities.

With few exceptions, OSHA requires employers to pay for personal protective equipment when it is used to comply with OSHA standards. These typically include: hard hats, gloves, goggles, safety shoes, safety glasses, welding helmets and goggles, face shields, chemical protective equipment and fall protection equipment.

OSHA has an abundance of rules and regulations regarding workplace safety, including section 29 CFR 1910.136 on occupational foot protection. Footwear is included in the Personal Protective Equipment section of the Occupational Safety and Health Standards.

As a basic requirement safety footwear must have a 200 joule toe cap. Other properties that may be included are: penetration resistance (midsole protection), conductive, anti-static, insulated against heat or cold, energy absorbing, outsole resistant to hot contact, water resistant.

Personal protective equipment

In some jobs, failure to use PPE properly can be grounds for disciplinary action or even dismissal. However, you can refuse to wear PPE if it puts your safety at risk, because it doesn't fit properly for example. Ask your employer or the firm's safety representative for the right size.

Consistent therewith, Cal/OSHA has taken the stance that if an employer requires shoes for safety purposes, whether specialty or nonspecialty, the employer must pay for the cost of those shoes.

An employer is required to provide any equipment that reduces the risk of the given environment. For example, an environment with sharp objects and glass on the floor would require steel toe boots.

How do I get VAT relief on disabled equipment? ›

How do you claim VAT Exemption? To claim for VAT exemption the supplier will usually ask you to sign a form declaring that the item is for a person with a disability or chronically sick. A Declaration form can be download from HM Revenue and Customs or from one of their local offices.

Most new goods are taxed at a VAT rate of 23%. Lower VAT rates apply to a few product types. Used machinery is subject to the VAT margin scheme.

This guidance outlines the temporary application of the zero rate of VAT to the supply of Covid-19 vaccines and test kits; and the temporary application of the zero rate of VAT to certain supplies of personal protection equipment (PPE) and medical equipment.

"Workers in tight areas wear their helmets backward because it is easier to maneuver in close quarters with it placed in that direction, and they don't want it to interfere with their work," Byrnes said. "Others wear them backward because it is easier to see without the brim in front."

Blue – Carpenters, technical advisers, and temp workers. Orange – Road crews, new employees, or visitors.

That sticker on your bill—take it off. Unless you are doing a tribute to Minnie Pearl, the sticker needs to be removed before donning your cap.

Anyone belonging to the Sikh community who wears a turban while riding or driving a two-wheeler on the road is exempt from the motorcycle helmet laws in India.

Protective clothing includes helmets, steel toe capped boots, protective trousers and high visibility jackets. If these items or uniforms are worn by an employee or a business owner for work then the VAT is recoverable as input tax on their VAT returns.

Furthermore, in a price sensitive country where people consider helmets a financial burden, a 12 percent GST instead of 18 per cent will help to draw people towards good quality helmets and will induce them to buy and understand its significance. Every day approximately 13 people lose their lives in road accidents.

The rules for buying a motorbike are fairly straightforward. If you buy a company motorbike outright or on hire purchase the VAT can be recovered in full.

What products do not include VAT? ›

Insurance Premium Tax (IPT) is not VAT, but you might think of it as “VAT for insurance”. It's a tax that's applied to insurance premiums received under taxable insurance contracts. It's applied at two rates: A standard rate of 12%, and a higher rate of 20% for insurance supplied with selected goods and services.

The income from sight tests is only VAT exempted where the primary purpose of a sight test is to care, protect or maintain the health of the patient. Tests carried out primarily for other reasons are VATable.

You can't claim as protective eyewear, contact lenses or prescription glasses if you wear them while working or if you have a medical condition. You can only claim these expenses if your eyesight is at real risk or harm or injury from the sun, as well as other workplace conditions.

Glasses cannot be claimed in your tax return unless it's protective wear such as sunglasses, or the kinds of safety eye protection used on worksites etc.

In the most simple terms, a cyclist can claim against a motorist when an accident was the latter's fault.

If you are self-employed and use a motorcycle for business, you could be eligible to claim 100% tax allowance for the cost of your bike, according to Nottingham firm EBS Accountants.

VAT-free shopping in the UK is gone for good, it has been announced. It was scrapped after Brexit at the start of 2021 and then brought back. But the UK's Chancellor has now confirmed it will not return. The perk made shopping in the country 20 per cent cheaper for international visitors.

The provision of vocational training or retraining by a body is exempt from VAT.

In general, disabled people do not have to pay Value-Added Tax (VAT) on goods and services that are designed / or adapted solely for use by disabled people. These goods and services are often called 'zero-rated' or 'eligible for VAT relief'.

What items are not subject to VAT? ›

Is training VAT exempt or zero-rated? Training is VAT exempted only in few conditions and that is if the training is provided to children and young individuals by a recognised body. In case these conditions do not apply to training courses, Vat will be applied. Therefore Vat on training is not zero-rated.

In most cases, HMRC considers vocational training to be for the benefit of the business and therefore a legitimate business expense. As such, the VAT would normally be recoverable by the business.

The personal fitness training services to the public should be carried out by the client as a sole proprietor so that there is no VAT on such sales as long as the VAT registration compulsory threshold is not breached.

The standard 23% rate of VAT applies to a wide range of goods and services.

Reverse-charge mechanism on import: Article 23

This license enables importers to avoid immediate payment of VAT upon importation (VAT deferral). For example: when a non-EU company import goods into the EU, it needs to file a VAT return and pay the 21% VAT upfront.

From 1 October 2021 the hospitality sector VAT rate increased to 12.5% until 31 March 2022, after which time it is due to return to the standard rate, currently at 20%.

What is the Senior Citizen Discount in the Philippines? Under R.A. 9994, elderly Filipinos aged 60 and above are entitled to a 20% discount and are exempted from the value-added tax (VAT) on applicable goods and services for their exclusive use. These privileges apply to both cash and credit card payments.

You can purchase, a motor vehicle VAT- free when all the following conditions are met: the motor vehicle is supplied to a disabled person who normally uses a wheelchair to be mobile. the vehicle is permanently and substantially adapted.