§ Mr. WillisTo ask the Chancellor of the Exchequer if he will exempt from VAT charitable gifts from the National Association of Leagues of Hospital Friends to NHS hospitals; and if he will make a statement. [41362]
§ Dawn PrimaroloIf a League of Hospital Friends is not VAT registered, any gift it makes to a NHS Trust will be VAT free. Where a VAT registered organisation makes a gift of an asset that has not been used in its business, then the gift is outside the scope of VAT. A gift made for business purposes, where the cost to the donor was not more than £15, is also outside the scope of VAT, but not gifts which form a part of a 'series or succession' of gifts from time to time.
It is also possible for Leagues of Hospital Friends to buy specific categories of goods VAT free for donation to NHS Trusts when using funds, provided either by a charity or from voluntary contributions. The list of goods covered by this relief includes ambulances and medical, scientific, computer, video, sterilising, laboratory and refrigeration equipment used for medical research, training, diagnosis or treatment.