Registered for VAT? You must add VAT onto your traders and caterers pitch fee
If you are registered for VAT are you charging your traders, caterers and market stalls the right amount? HM Revenue & Customs (HMRC) wants their share of the cake.
HMRC VAT office has made a ruling, supported by a test case in English courts, resulting in the need to charge VAT at the standard rate (currently 20% of total figure at March 2017) on rent and concession/tender rates paid by traders to festivals and events that are registered for VAT e.g. a £100 stall rent will now be £100 + VAT = £120. This is of no benefit to the festival / event organiser, it is a TAX by HMRC.
Don’t get it wrong. Add VAT to the rent or concession and declare it with your VAT return. Many caterers and traders are also registered for VAT so will be able to claim it back. Those that are not still have to pay it to you (they are the end user).
So, to clarify, if your event is VAT registered you MUST pay VAT on top of the fee to all traders. If you are not VAT registered you don’t.
AFO: 14th Mar 2017 14:24:00
This month, you can read about the new partnership we’ve sealed with HMRC to tackle incidents of tax fraud in the private security industry. In other SIA news, we have written a blog reflecting on our Manchester open day.
31st July 2018
The En Indy Awards
The story of David and Goliath is well known but the reality is that Goliath normally wins and this is reflected in many industry awards programmes. EN introduced The Indy Award recently to cater for exactly this – to allow smaller, independent organisers to compete with their peers rather than the global behemoths we know and love.
18th July 2018
The Festival And Outdoor Events Show (festout)
The Festival and Outdoor Events Show (Festout) returns with a focus on key industry training September 26th/27th, Sandown Park, Esher, Surrey
17th July 2018
30 Under Thirty
The EN 30/30 returns for its 4th outing, to recognise excellence in the next generation of exhibition professionals.
4th July 2018
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