Comments: VAT on alterations to listed places of worship

What an interesting and fairly detailed account of how policy is changed.

Posted by Martin Reynolds at Thursday, 17 May 2012 at 5:10pm BST

Am I alone in wondering if the intention is to fully cover the VAT charged by a grant from government funds drawn from tax receipts, why charge the VAT in the first place? This is ludicrous. What a waste of everyone's time, effort and money, including Civil Servants'.

Posted by Ian Black at Friday, 18 May 2012 at 7:49pm BST

You charge VAT in the first place because then you have the payment system in place and it will be much easier to gradually erode the grant over time.

Posted by Erika Baker at Monday, 21 May 2012 at 8:09am BST

If I understand the new system correctly, it is not the case that all VAT will be reimbursed but that as a fixed amount of money will be released to reimburse churches for VAT. Depending on how many undertake reordering projects and how expensive they are (I believe Wakefield Cathedral's VAT bill alone is £2m), some churches will only get back around 40% of their VAT outlay. The details don't seem to be fully agreed as yet, but the devil certainly appears to be in them!

Posted by Erika Baker at Tuesday, 22 May 2012 at 9:30pm BST
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