The UK Government have published guidance on the introduction of the temporary 5% reduced rate of VAT that will apply between 15 July 2020 and 12 January 2021. Please note the issues are complex and we suggest that you discuss the changes with your accountant asap!
The information reflects legislative changes on supplies of the provision of sleeping accommodation in:
- Hotels, inns, boarding houses and similar establishments,
- grant of a license to occupy holiday accommodation
- charges for seasonal pitches for caravans - including supplies of facilities provided in relation to the occupation of the pitches
- pitches for tents and camping facilities
Reduced rate of VAT for attractions
Eligible attractions for the temporary reduced rate of VAT include shows, theatres, circuses, fairs, amusement parks, concerts, museums, zoos, cinemas, exhibitions and other cultural events and facilities, but do not include admission to sporting events. Live performances that charge a fee to view online may be eligible, depending on circumstances and assuming they are not already covered by a Cultural VAT exemption.