VRDP04100 | Definitions and use of terms: meaning and use of the term ‘disabled person'

Meaning

‘Disabled person’ is defined in Legal Note 3 to Group 12 of Schedule 8 of the VAT Act 1994 as follows:

Any person who is chronically sick or disabled is ‘disabled’ for the purposes of this Group.

It is a fairly wide definition, covering many of those who are sick as well as those who are disabled.

Use in VAT law

A concept common to the majority of Group 12 is that the goods or services must be supplied:

• to ‘a disbabled person’; or

• to an eligible charity which serves the needs of disabled people

for zero-rating to apply.

However, in items 2(g), 2(h) and 2(i), a condition of zero-rating is that the goods must be:

• ‘designed solely for use by a disabled person’; or

• ‘designed or substantially and permanently adapted for use by disabled persons’.

In this context, the term ‘disabled person’ becomes important as a means of judging whether the goods themselves qualify for zero-rating, and further guidance as to how to make this judgement can be found under the third, fourth and fifth subheadings of VRDP38000.

Tribunal cases