Eligibility for VAT Relief

If you’re disabled you’ll generally have to pay VAT on the things you buy, but VAT relief is available on a limited range of goods and services for disabled people.

VAT relief that may be available if you’re buying goods because of your disability.

How VAT relief works

This is not a VAT refund system and there’s no facility for HMRC to refund VAT to you if you’re entitled to buy VAT-free goods. If you’re entitled to buy VAT-free goods, your supplier will not charge you VAT.

Goods you can buy VAT-free

This section has information on the goods you can buy VAT-free because of your disability including:

  • medical and surgical appliances
  • wheelchairs and mobility scooters
  • equipment to aid the hard of hearing, and low vision aids
  • specialist beds, chair and stair lifts, rise and recline chairs and other lifting equipment and sanitary devices
  • goods that have been designed solely for disabled people
  • computer equipment
  • emergency alarm call systems
  • boats
  • parts and accessories

You can hire or lease eligible goods VAT-free if you’re disabled.

Your retailer or other supplier is responsible for checking if the goods are eligible to sell VAT-free.

Goods that have been designed solely for disabled people

You’ll not have to pay VAT on any goods that have been designed by the manufacturer solely for use by disabled people. Eligible goods include:

  • white canes or whistling cups for blind people
  • vibrating pillows for deaf or hard of hearing people
  • wheelchairs
  • transcutaneous electrical nerve stimulation (TENS) machines
  • braille embossers
  • incontinence products

What HMRC means by ‘designed solely for disabled people’

This means that the original intention of the product’s designer was to produce an appliance or equipment solely to meet the needs of people with one or more disability.

You cannot buy goods that are designed for use by disabled and non-disabled people alike VAT-free. Goods that are bought to be used by or that are mainly bought by disabled people cannot be bought without VAT unless they’re designed solely for use by disabled people.

For example, general purpose equipment such as an air conditioning device, a reclining chair or an orthopaedic bed might benefit a disabled person but cannot be bought VAT-free because they’re not designed solely for use by a disabled person.

Who decides if something is ‘designed solely for disabled people’

Your retailer or other supplier is responsible for charging the correct amount of VAT on anything they sell. They should check with the manufacturer that the goods have been designed solely for use by disabled people before agreeing to sell any goods VAT-free.

Do you qualify for VAT-free goods

You’ll only be able to have eligible goods VAT-free if you’re chronically sick or disabled and the goods are for your personal or domestic use. You do not need to be registered disabled or eligible for any other benefit to qualify for VAT-free goods.

What HMRC means by ‘chronically sick or disabled’

For VAT purposes, you’re chronically sick or disabled if you have a:

  • physical or mental impairment which has a long term and substantial adverse effect on your ability to carry out everyday activities
  • condition that the medical profession treats as a chronic sickness (that’s a long term health condition)

For VAT purposes, the term ‘chronically sick or disabled’ does not include a person who’s only temporarily disabled or incapacitated, for example with a broken limb or someone who’s elderly but is not chronically sick or disabled.

You do not need HMRC’s permission to declare that you’re disabled or chronically sick and our advisers cannot tell you if you’re disabled or chronically sick.

If you’re not sure if your condition means you’re chronically sick or disabled you may wish to consult your doctor or other medical adviser.

What HMRC mean by ‘personal or domestic use’

This means that the goods are made available specifically for the use of an individual disabled person.

The following are not ‘personal’ or ‘domestic’ uses and are not VAT-free:

  • goods used for business purposes
  • goods supplied to or for an in-patient or out-patient of a hospital or to or for a resident of a nursing or care home where the goods are for use in the care or treatment provided in the hospital or nursing or care home

How to prove that you qualify for VAT-free goods

Eligibility declarations

To show that you’re entitled to buy the goods VAT-free, your supplier will probably ask you for a simple written declaration stating your eligibility. 

You’ll need to do a separate declaration for each supplier for them to keep with their VAT records.