Treasury temporarily scraps VAT on PPE

May 7, 2020
Stephen is one of the firm’s tax partners. He specialises in income tax, capital gains tax, corporation tax, inheritance tax, and stamp duty land tax. He also specialises in advising property and construction businesses.
Personal Protective Equipment

The Government has decided to zero-rate VAT on essential personal protective equipment (PPE) during the COVID-19 pandemic. It comes after charities and trade unions called for VAT on PPE to be scrapped. The Government hopes that this will ease the financial pressure that has been placed on care homes and charities, which have been drastically affected by COVID-19. Many care homes and charities have seen their income decline since the start of the pandemic. Although the NHS relies on the Government to provide the funds needed to fight coronavirus, most care homes have to rely on private funding to purchase the PPE needed to protect its staff and residents.

The Government has said that this measure will save charities, care homes, and anyone else that needs PPE £100 million. Normally PPE is subject to a 20% VAT charge and most care homes would not be able to reclaim this.

When does this come into effect?

This measure started on 1 May 2020 and will end on 31 July 2020.   

What is classed as PPE?

The following items are zero rated for VAT purposes:

  • Disposable and fluid resistant overalls and gowns
  • Disposable gloves
  • Disposable plastic aprons
  • Eye and face protection
  • Filtering face piece respirators
  • Fluid resistant (type IIR) surgical masks
  • Surgical masks

To find out more about this change, please visit the Government website here.  

How can we help

At Hawsons we have a dedicated team of accountants at our offices in Sheffield, Doncaster, and Northampton.

If you have any questions about this article, please contact your usual Hawsons contact or contact us via this short form.  


More from our tax experts

You can find all of our latest tax articles and tax resources here.

If you are looking for advice in a particular area, please get in touch with your usual Hawsons contact.

Alternatively, we offer all new clients a free initial meeting to have a discussion about their own personal circumstances – find out more or book your free initial meeting here. We have offices in Sheffield, Doncaster and Northampton.

Free initial meeting

Stephen Charles

Tax Partner, Sheffield