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Contents

Official guidance
VAT Education Manual

VATEDU65000 · Local authority (LA) schools

  • VATEDU65250 · What are local authority schools?
  • VATEDU65500 · Purchases by governors
  • VATEDU65750 · Governors acting as agents of the local authority
  • VATEDU66000 · Education Act 2002
  • VATEDU66250 · Voluntary aided schools
  • VATEDU66500 · Land sales by foundation schools
  • VATEDU66750 · Income that a school receives from letting its premises
  • VATEDU67000 · New Opportunities Fund, lottery funding, etc
  • VATEDU67250 · Donations from parent-teacher associations, benefactors and other philanthropic sources
  • VATEDU67500 · What if only part of the VAT a school is charged meets the conditions for recovery by the local authority?
  • VATEDU67750 · Responsibility for accounting for VAT
  • VATEDU68000 · Who must register for VAT when there are taxable supplies not made by the local authority?
  • VATEDU68250 · Can the governors, the head teacher or another body recover VAT charged on purchases?
  • VATEDU68500 · Fuel and power
  • VATEDU68750 · Sales of food and drink to pupils
  1. Local authority (LA) schools: contents
  2. Local authority (LA) schools: purchases by governors

VATEDU65500 | Local authority (LA) schools: purchases by governors

From HM Revenue & Customs · VAT Education Manual

Under section 49(5) of the School Standards and Framework Act 1998 (SSFA), governors act as agent of the local authority when they pay for these goods and services using money from:

  • the school’s delegated budget; or

  • amounts the school receives from local authority central funds for specific purposes.

Delegated budget

The delegated budget covers items such as:

  • equipment; and

  • salaries

and the governors are free to spend it for the purposes of the school as they see fit.

Local authority central funds

Local authority central funds cover items such as:

  • capital expenditure;

  • special needs provision; and

  • home-to-school transport.

Governors

Governors do not act as agent of the local authority in respect of loans that they take out and repay using funds obtained from the local authority.

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