Item 7 Schedule 8, Group 12, which reads as follows:
- The supply to a handicapped person or to a charity of services necessarily performed in the installation of equipment or appliances (including parts and accessories therefore) specified in item 2 and supplied as described in that item.
What installation services are covered by Item 7?
Zero-rating under item 7 (see VRDP43000 - ‘The law’) is confined to services integral to the installation of the equipment or appliances such as:
|Eligible for VAT relief||Not eligible for VAT relief|
|* Plumbing in a sanitary appliance||* Building of a structure to “house” the installation|
|* Wiring up an electrically adjustable bed|
|* Installing a chair lift|
The relevant item 2 goods (see VRDP05100) are zero-rated whether supplied as part of the installation service or separately as goods.
Where parts and accessories are used, these are eligible for zero-rating provided they are part of the single supply of installation services.
Parts and accessories supplied separately are eligible for relief under item 2(h) - see VRDP05100.
See ‘Notice 701/7 Reliefs for disabled people’.