HMRC has removed VAT on eligible goods donated by VAT‑registered businesses to registered charities, effective 8 June 2026. The relief includes a monetary cap per item and prohibits charities from reclaiming VAT on donated goods. Businesses should keep detailed records of donated items.
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The Independent · about 8 hours ago
The UK government will remove VAT from domestic electricity bills from 1 October 2026, cutting the rate from 5% to 0%. The change is expected to save households around £45 a year and will be funded by cancelling the Digital ID programme.
The Independent · about 10 hours ago
In the UK, the government announced an £850 million tax cut on energy bills, making electricity bills VAT free from 1 October 2026 in England, Scotland and Wales. Northern Ireland remains exempt because EU VAT rates apply under the Windsor Framework, preventing the cut from applying there.
BBC · about 15 hours ago
UK VAT will be cut from household electricity bills from 1 October, reducing the rate from 5% to zero and saving households about £45 a year. The cut is funded by savings from scrapping the digital ID programme and will apply to England, Scotland and Wales, with equivalent funding for Northern Ireland.
The Independent · about 15 hours ago
UK households will see 5% VAT removed from electricity bills from 1 October 2026, a move announced by Prime Minister Andy Burnham. The change is expected to save about £45 on a typical annual bill, though a projected 3.1% rise in the price cap may offset the benefit.
Yahoo News Canada · about 19 hours ago
The United Kingdom will see VAT on household electricity removed from 5% to 0% on 1 October, saving typical homes around £45 a year.
Law360 · about 19 hours ago
UK court rules that Staffing Co cannot recover input VAT because its director knew or should have known its supply chain was compromised by fraud. The decision underscores the importance of due diligence in supply chain management for VAT recovery.
Key Takeaways
From 8 June 2026, VAT is no longer due on eligible goods donated free of charge to registered charities.
No, charities cannot reclaim VAT on the donated goods.
Charities should keep a record of donated goods, especially expensive items, and maintain an audit trail.
Primary source
Read the full article at Scottish Financial NewsThis summary was published on VATfaqs.com on 8 June 2026. It relates to VAT developments in United Kingdom. The original source is Scottish Financial News.
