The checklist helps develop thought processes to identify and deal with VAT problems, together with outline information and aides-mémoire on some areas where VAT planning is relevant.

Normally, standard-rating applies to supplies made, because reduced-rating, zero-rating and exemption are specified exceptions to the statutory rules. Standard-rating is often convenient for businesses because it minimises the risk of underdeclared output tax. However, charging VAT is unwelcome if the customer is outside the UK, is partially exempt or is not in business and therefore cannot recover VAT.

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