Education ― supplies of research

Produced by a Tolley Value Added Tax expert

Value Added Tax

Guidance

This guidance note provides an overview of the VAT treatment of supplies of research.

See De Voil Indirect Tax Service V4.145 and V6.218 for more in-depth commentary, and HMRC internal guidance VATEDU35000.

This guidance note should be read in conjunction with the Supplies of education guidance note, which provides details of what constitutes an eligible body.

What is the VAT treatment of research?

HMRC regards research as including the following from a VAT perspective:

•
original investigative work undertaken in order to gain, expand or advance knowledge and understanding
•
developing a particular software program intended to assist with a particular research project before the main body of the research commences

VATA 1994, Sch 9, Pt II, Group 6

HMRC does not regard the following as research from a VAT perspective:

•
work undertaken that merely confirms existing understanding or knowledge
•
collecting and recording statistics if no analysis, collating or interpreting takes place
•
market research
•
writing computer programs where these are not directly associated with a specific research project
•
conducting opinion polls
•
undertaking

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