§ 41. Mr. Willeyasked the Chancellor of the Exchequer whether he will make provision to exempt from liability to value added tax footwear provided on a doctor's certificate for people suffering from severe foot deformities.
§ Mr. HigginsBespoke footwear will be exempt from VAT if need is medically attested and the goods are provided as part of the treatment in a National Health Service hospital or in any private hospital or clinic of a kind defined in Item 4 of Schedule 5, Group 7 of the Finance Act 1972.
§ Mr. Juddasked the Chancellor of the Exchequer what further consultations he has now had with charities on VAT; what further communications he has now received from charities; what replies he has now sent to them concerning the implications of VAT for their operations; and whether he will make a statement.
§ Mr. HigginsThe National Council of Social Service has recently forwarded a detailed report on a study it commissioned of the effects on a number of charities of VAT and other tax changes announced in last year's Budget. The council and other charities which have made representations have been informed that my right hon. Friend will consider their views.
§ Mr. Loveridgeasked the Chancellor of the Exchequer, if a man builds his own house, whether value added tax will be applied in the same way as a builder who is zero rated and thus entitled to any appropriate rebates.
§ Mr. HigginsMaterials supplied to such an individual will be taxable at the standard rate. Only registered persons will be able to reclaim tax paid on their purchases.