Charities And Irrecoverable VAT

EDM number 1261 in 2010-12, proposed by Valerie Vaz on 12/01/2011.
Categorised under the topics of Charities and Taxation.

That this House is concerned about the impact on charities of the recent rise in the rate of value added tax (VAT) to 20 per cent.; notes the report of the Charity Tax Group (June 2010) which found that the charity sector as a whole will lose a further 140 million in addition to the 1 billion already lost in irrecoverable VAT; commends the Sue Ryder campaign A Happy New Year? which highlights the loss of 1 million in irrecoverable VAT for that charity and aims to hold the Government to its commitment to cut red tape for charities; acknowledges Sue Ryder's estimate that the lost 1 million a year couldfund a 16-bed hospice for six months, provide 50,000 hours of in-patient care or 25,000 hours of specialist palliative care in the home, employ 30 nurses or 60 carers; further notes that limited companies, local authorities and the NHS are afforded VAT benefits that are not available for Sue Ryder's charitable hospices, care centres and homecare services; urges the Government to commit to minimising bureaucracy and costs for charities delivering public services; and calls on the Government to make legislative changes that will enable charities to access VAT benefits.

This motion has been signed by a total of 45 MPs.