Exempt Expenses

Exempt expenses for VAT are items set out by HMRC that you buy or sell that do not have VAT charged on them. They will still be included on the VAT return, but due to their nature, there is no VAT to be reclaimed.

Examples of HMRC Exempt Expenses

  • Insurance
  • Postage
  • Wages and salaries
  • Pensions
  • Residential rent
  • Certain commercial rent
  • Subscriptions to professional bodies
  • Travel such as buses and tubes
  • Charitable donations
  • Betting, gaming and lottery wins
  • Admission charges by public authorities and charities
  • Charitable fundraising events
  • Antiques and works of art
  • Burial or cremation services
  • Nursing home care
  • Health services provided by doctors, dentists, opticians and pharmacists