Is there VAT on plants and trees?

Is there VAT on plants and trees?

The supply of plants grown to provide food either for human or animal consumption is zero rated (0% VAT), as is the supply of the seeds, bulbs and so on used to produce such plants. However, plants which are grown for their ornamental effect, and herbs grown for medicinal rather than culinary use, are standard rated.

Can you claim VAT on plants?

The supply of most basic foodstuffs for human or animal consumption is zero-rated. Plants and seeds used for the production of foodstuffs are also zero-rated depending on how they are held out for sale. plants. seeds or other means of propagation (spores, rhizomes) used to produce those plants.

Do you pay VAT on gardening?

Most of the time your supplies of garden services will be standard rated for VAT purposes. However, soft landscaping supplies (such as turfing, planting trees, shrubs, grass and so on) made on new housing developments can be zero rated.

Is there VAT on vegetable plants UK?

All crops that are grown to produce food of a kind for human consumption or animal feeding stuffs are zero-rated. The zero rate also applies to seeds, seedlings, crowns, spores, tubers and bulbs of edible vegetables and fruit.

Do nurseries pay VAT?

Nursery businesses make predominantly VAT-exempt supplies, as the provision of nursery services falls into the exemption for childcare – which means no VAT is charged, nor is it reclaimable, on any expenditure relating to that provision.

Is there VAT on lawn seed?

There is no legal basis for relieving grass seed used for amenity purposes. However, on the basis of the law as it stands, all grass seed has been zero-rated because of the extensive use of grass as animal feed.

Is there VAT on plants from a garden Centre?

The zero rate of VAT applies to the supply of the following goods when used for sowing in order to produce food: plants, including live plants, • trees, including live trees, • seeds, • spores, • bulbs, • tubers. tuberous roots, • corms, • crowns and • rhizomes. cut flowers and ornamental foliage.

What are VAT exempt items?

Goods and services exempted from VAT are: Non-fee related financial services. Educational services provided by an approved educational institution. Residential rental accommodation, and. Public road and rail transport.

Do you pay VAT on compost?

What is the law on non-food crops? Plants and crops grown for non-food purposes will be standard rated for VAT at 20%. Similarly, straw sold to market gardeners for use as composting material is sold for a non-food purpose. Therefore the sale of crops, for these non-food purposes, is standard rated for VAT at 20%.

Can childminders claim VAT back?

Childminders and VAT The provision of childminding services by registered childminders is exempt from VAT. Businesses whose activities consist only of exempt supplies cannot register for VAT and cannot recover any VAT on any purchases of goods and services to be used in making those exempt supplies.