l 701 - VAT Exemption Declaration

What is VAT Relief?

VAT relief, sometimes called "exemption from VAT" or "zero-rated," allows individuals with disabilities to purchase certain equipment without paying VAT, enabling them to save money on these often costly items. People who qualify for VAT relief don’t pay VAT on goods intended specifically for individuals with disabilities or adapted for their use. However, not all items are automatically eligible for 0% VAT.

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Relevant VAT Notice

The applicable VAT guidance is VAT Notice 701/31: Health and Care Institutions. According to this notice, goods provided to people with disabilities are eligible for zero VAT if all the following conditions are met:

• The conditions specified in VAT Notice 701/7: VAT reliefs for disabled and older people are satisfied.

• The goods are for the domestic or personal use of the customer.

• The goods are not provided, ordered, or paid for by a hospital, nursing home, or other qualifying institution.

• The goods are not essential to care or treatment provided in a hospital, nursing home, or other qualifying institution.​

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Who Qualifies as a Person with Disabilities?

For VAT purposes, a person qualifies as having a disability or a long-term illness if they:

• Have a physical or mental impairment that significantly affects their ability to perform everyday activities, such as blindness.

• Have a chronic illness, such as diabetes.

• Are terminally ill.

People who are elderly but able-bodied or those with temporary disabilities are not eligible.

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What is Considered "Domestic or Personal Use"?

According to VAT Notice 701/7, “domestic or personal use” means that the goods or services are specifically intended for use by a disabled individual or group of individuals with disabilities. The following are not considered "domestic or personal use" and are thus not eligible for VAT relief:

• Goods or services used for business purposes.

• Supplies of eligible goods broadly accessible for a group’s general use, such as a stairlift installed in a charity building for general use.

• Goods and services provided to:

  • In-patients or residents of a hospital or nursing home.

  • Individuals receiving care or treatment at a hospital or nursing home.

  • Commercial establishments (except charities) for care or treatment in a health institution.

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How to Claim VAT Relief

Once PROCare confirms an order qualifies for VAT relief, the customer must provide a written declaration. Although HMRC doesn’t offer an exemption certificate, PROCare has streamlined the process:

• Online Orders via Invisible Creations or the Portal: Currently, VAT exemption isn't available for online orders, so please contact us via email or phone BEFORE placing an order.

• Orders by Email, Phone, or Over the counter: PROCare will ask you to complete a form, which will be kept on file.

For forms:​

• Disabled Persons VAT Relief Form

Completed forms should be sent to sales@procare-ltd.co.uk. Note that once VAT relief is applied, PROCare will invoice at 0% VAT, and VAT cannot be refunded after purchase, so please apply for relief when first inquiring.

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You can download the 701 Tax Exemption Declaration directly from our website. Click the link below to access a downloadable PDF version of the document. If you require another format (i.e: word document) please email sales@procare-ltd.co.uk