HM Revenue and Customs Brief 35/12
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Issued 11 December 2012
Purpose of this Brief
To note that, from 30 November 2012 HM Revenue &
Customs (HMRC) is introducing a new voluntary scheme for motor and boat
dealers. The purpose of the scheme is to gather information from
traders about zero-rated sales of adapted motor vehicles and boats to
All VAT-registered motor vehicle and boat dealers who make
sales under the zero-rated, adapted motor vehicle or boat disability
The VAT zero rate relief for adapted motor vehicles and boats
for wheelchair users allows regular wheelchair users to purchase a
motor vehicle or boat that has been specifically designed or adapted to
enable them to enter and drive (or otherwise be carried in) the vehicle
at the zero rate of VAT, provided that the vehicle is for the domestic
and personal use of the wheelchair user.
How will the scheme work?
This scheme for adapted motor vehicles and boats was announced
at Budget 2012.
It is entirely voluntary. The aim of the scheme is to gather
information from suppliers of vehicles and boats about the use of the
VAT zero rate, on sales of motor vehicles and boats adapted for the use
of wheelchair users.
Participating car dealerships and boat suppliers can provide
information to HMRC by completing a survey form about their zero-rated
motor vehicle and boat sales.
Why do you want us to provide additional information?
HMRC need further information in order to establish how often
the relief is used, the types of adaptations required, the costs
involved and the types of vehicles purchased.
How will this information be used?
Currently HMRC has very little information about how much the
relief is used.
HMRC will use the information to establish general trends,
values and numbers. In addition it will help HMRC gain a better
understanding of the current use of the relief to assist to improve
more about the voluntary scheme
About the Author
© Crown Copyright 2012.
A licence is needed to reproduce this article and has been republished
for educational / informational purposes only. Article reproduced by
permission of HM Revenue & Customs.
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Article Published/Sorted/Amended on Scopulus 2012-12-20 09:04:11 in Tax Articles