Don't forget VAT situation for disabled

[spudandpatricia]

Don't know if this has been covered before, new to the forum.

Check out if buying new, if you are eligible for VAT free purchase.

Speak to the dealer, who should advise on this.

Good luck

 

[Peter JohnsCross MH]

Don't know if this has been covered before, new to the forum.
Check out if buying new, if you are eligible for VAT free purchase.
Speak to the dealer, who should advise on this.
Good luck

Hi,

It has been covered before I am sure, be very carefull as there are quite a few salesmen about who will push this aspect and you will end up in a very difficult situation.

It is NOT as simple as they make it out to be, fitting a grab handle does not qualify and making false declarations is very dodgy.

HM Customs have tightened up considerably over this exemption.

Regards

Peter

 

[Geo]

Word of Warning for the unwise
I suggest you do your own research into eligibility as many dealers are shall we say stretching and or misrepresenting the facts to make the deal appear better than it would otherwise be
the rules are very strict and at the end of the day it is you who are signing the declaration and claiming the rebate not the dealerand it is you who will be hunted for any duties claimed incorrectly,
the mere possession of a disability badge by you or family member is Not good enough, the benefits are based purely on YOUR or FAMILY members disability and not all are eligible
You have been informed
Geo
Great Minds Eh!! Peter but you type faster

 

[russ]

Hi,can a disabled person get a motorhome/campervan like they can get a mobility car for three years.

 

[Peter JohnsCross MH]

Hi,

Not sure about that but if you give our Gill Jones a call, she deals with that side.

Regards

Peter

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[old-mo]

It`s a mine field out there when it comes to VAT,, dealers will tell you that all you need to do is bolt on a handrail or the like and the vehicle/caravan/motorhome has been especially adapted for a disabled person,, Not True.

The only way you can be VAT exempt is if the vehicle or whatever is for carrying a wheelchair bound or bedridden person and adaptions have been made to carry such IE ramps/hydraulic lifts/electric lifts etc.

Check out this web site, and when it comes up type in the search box top right hand corner..

Website of the UK government : Directgov

VAT relief on products and services for disabled people. (type these words exactly as I have written them)

 

[Oscarmax]

Motorhome VAT

:thumb: I have recently ordered a new motorhome, my dealer convinced me I was entitled to VAT exemption because I use a mobility scooter, all I would need is a letter from my GP confiming my disability.

oh: I have research on the internet and contacted the VAT guideline, I now have doubts about my entitlement. I sent a recorded letter to my dealer outlining my doubts. Their written reply, I need to go back to my GP, Physitherapist or nurse to comfim that I am a wheelchair user. I have signed the declaration, but added see accompaning letter.

To cover my back, I have taken all my letter of correspondance (including order form) to my local inland revenue office and asked them for a decision, as I have liitle faith in my dealer.

H M Customs and Excise Form 701/59 Page 13 of declaration ' I am chronically sick or have a disabilng condition by reason of:' This is clearly explained in Form 701/7 VAT relief for people with disabilities, it would appear I am may be entitled under section 3:2:1 What does 'chronically sick or disabled' mean ?

with a physical or mental impairment which has a substantial adverse effect upon his/her ability to carryout everday activities.

My advice, if like me you are not a full time wheelchair user, go and see your local inland revenue office and ask for their advice and guidance.

 

[old-mo]

My disabled son who is 43 years old, and has more stainless steel in his right leg and a plate in his head,than you can imagine and is prone to epileptic fits if he should knock his head, can only walk a few hundred yards in any one time,,

And has the mental age of a 12 year old.

Does not use a wheelchair all the time...

Is not entitled to VAT exemption for a car or a caravan.. But can claim Nil road tax, and the full disability living allowance.

Please watch and make sure of the legal requirements, they can claw all the VAT back with interest..

A dealer will tell you anything to get a sale.. But a good one will guide you in the proper way,,

I will probably get a hydraulic lift type thing to get my son in the 5er when we buy one,, As he cannot manage stairs/steps to easy,, but even that does not make him/us VAT exempt..

To me the VAT system in this country stinks... :Angry:

Sorry,,, rant over..

 

[The Kar-Mann]

:thumb: I have recently ordered a new motorhome, my dealer convinced me I was entitled to VAT exemption because I use a mobility scooter, all I would need is a letter from my GP confiming my disability.

oh: I have research on the internet and contacted the VAT guideline, I now have doubts about my entitlement. I sent a recorded letter to my dealer outlining my doubts. Their written reply, I need to go back to my GP, Physitherapist or nurse to comfim that I am a wheelchair user. I have signed the declaration, but added see accompaning letter.

To cover my back, I have taken all my letter of correspondance (including order form) to my local inland revenue office and asked them for a decision, as I have liitle faith in my dealer.

H M Customs and Excise Form 701/59 Page 13 of declaration ' I am chronically sick or have a disabilng condition by reason of:' This is clearly explained in Form 701/7 VAT relief for people with disabilities, it would appear I am may be entitled under section 3:2:1 What does 'chronically sick or disabled' mean ?

with a physical or mental impairment which has a substantial adverse effect upon his/her ability to carryout everday activities.

My advice, if like me you are not a full time wheelchair user, go and see your local inland revenue office and ask for their advice and guidance.

I was told by the VAT office that they also alow it under the clause (Or have a degenerative desease or progrssive condition. ) this I was told covered things like MS where it sometimes goes in to remision. so you may need a wheelchair one week but not the next. At the time of declaring it you qualified if you went into remision the week after it did not mean you had to pay it back. The VAT officer said they had problems with Travellers using one family member to get several Motorhomes. He also stated that it was not up to them to question the medical evidance, and that adaptions only needed to be done to meet the individual needs of the person effected. Not as some dealers say ramps ties for wheelchairs ect. It was on a needs basis, and that dealers should not be refusing if the medical letters confirm the person meets the requirment. that dealers were using it to increase sales of such items.
Any questions from qualifing people please pm me.
The Kar- Mann:thumb:

 

[Oscarmax]

Old-mo, take my advice and visit your local inland revenue office, I believe your son is a very deserving case, the worse they can say is no. :thumb:

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[old-mo]

Old-mo, take my advice and visit your local inland revenue office, I believe your son is a very deserving case, the worse they can say is no. :thumb:

Thanks for that,,

I will try in person,, But when I phoned a couple of weeks a go it was an emphatic no,,

As he does not and will not use his wheelchair all the time,, (stuborn).

I will let you know how I get on.

 

[Peter JohnsCross MH]

Thanks for that,,

I will try in person,, But when I phoned a couple of weeks a go it was an emphatic no,,

As he does not and will not use his wheelchair all the time,, (stuborn).

I will let you know how I get on.

Try visiting us, if its legal, we will do it.

If its dodgy we will tell you and wont!

Peter

 

[Oscarmax]

Just had a email back from citezens advice, to whom I sent all my details, they advise I qualify under chronical illness, but I should contact the VAT charity helpline about the elegibility of the motorhome.

The VAT charity say, they have recieved all my correspondance via the VAT offfice and the citezen advice are wrong. Apparently all correspondance/applications is decided by them.

They have stated chronically sick still has to be a full time wheelchair user, and my application will be refused. Also they will be contacting the dealer for an explanation, owe dear.

Never mind at least I have tried to be above board and can sleep at night.

 

[The Kar-Mann]

Just had a email back from citezens advice, to whom I sent all my details, they advise I qualify under chronical illness, but I should contact the VAT charity helpline about the elegibility of the motorhome.

The VAT charity say, they have recieved all my correspondance via the VAT offfice and the citezen advice are wrong. Apparently all correspondance/applications is decided by them.

They have stated chronically sick still has to be a full time wheelchair user, and my application will be refused. Also they will be contacting the dealer for an explanation, owe dear.

Never mind at least I have tried to be above board and can sleep at night.

This just shows what a grey area it is when the CAB with access to all relivent infomation can alegidly get it wrong. I wonder if the VAT MAN IS MISINTERPRATING THE RULES to suit themselves as they dont seem to be consistant in there advice. I think that my friend got it as I said because at the time she was in a wheel chair and if she had not gone in to remission it would of been perminant.
Like you said though better to check.
The Kar-Mann:thumb:

 

[Oscarmax]

This just shows what a grey area it is when the CAB with access to all relivent infomation can alegidly get it wrong. I wonder if the VAT MAN IS MISINTERPRATING THE RULES to suit themselves as they dont seem to be consistant in there advice. I think that my friend got it as I said because at the time she was in a wheel chair and if she had not gone in to remission it would of been perminant.
Like you said though better to check.
The Kar-Mann:thumb:

You cannot talk directly to the VAT office, I had to go through my local Inland Revenue Office, if you try and contact the VAT office, you are given the phone no. of the VAT Charity helpline. If you ask them for advice they read a script, if you push them further they say they are not qualified, so why ? do the VAT office use their services for the decision process.

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[old-mo]

This is why the goverment is clamping down, :Angry:

Spoiling it for the genuine disabled and needy. :Sad:

I am still not happy and have taken it up with the ombudsman/official adjudicators.

Doubt that I will get anywhere, but if you dont try you`ll never know..



Disabled people are abusing a scheme allowing them to buy cars
VAT-free, by selling the top-of-the-range vehicles at a profit.

Under the scheme, disabled people are exempt from paying VAT on modified vehicles, which the guidelines state must be for personal use. But police confirmed last night that a “group of people linked by their disabilities” were abusing the system and making hundreds of thousands of pounds.

The scam operates by wheelchair-users ordering exclusive vehicles, usually available only on a waiting list, and making a minor modification, such as adding a knob on the steering wheel. The modification is then removed and the vehicle is sold at an instant profit of several thousand pounds, while undercutting the showroom retail price.

South Yorkshire Police’s fraud squad has raided properties across four counties in its investigation of the practice. Detective Inspector Graham Wragg said: “I suspect there are more and more people across the country who are abusing the system in this way and there may be many more vehicles out there that have been obtained in this way.”

He said that all the suspects were genuinely disabled and receiving state benefits. “I wouldn’t say it’s an organised criminal gang as such. It’s a group of people who are linked by their disabilities who seem to have recognised a weakness in this area and they are all doing the same kind of abuse of the system,” he told BBC Radio 4’sYou and Yours consumer affairs programme.

Any fraud investigation would consider whether the applicants had exaggerated their disabilities to claim benefits and whether by selling the vehicles they had been trading and so breaching their incapacity benefit conditions.

The Department for Work and Pensions said that it would not comment on individual cases, but Vernon Sanderson, of the department’s Yorkshire and Humberside fraud team, told the BBC: “The benefit fraud aspect comes in where evidence suggests their disability isn’t as severe as stated, which in turn allowed them access to the scheme in the first place. And also our rules on claiming incapacity benefit are quite clear, which is that you are only allowed to do permitted work and buying and selling cars in large volume doesn’t come under that.”

It is understood that the group has targeted top-of-the-range Land Rovers, Bentleys, Maseratis and Lamborghinis, costing up to £70,000. That means that the group’s members could save as much as £12,250 on each transaction in VAT. They could therefore earn several thousand pounds profit on each sale and still undercut the retail price. The cars would then be sent to another garage to be sold as new, “preregistered” vehicles.

Several suspects in Yorkshire, the North East and Derbyshire have registered up to 60 top-specification Range Rovers each in the past two years, according to an investigation by You and Yours. Another suspect, in Merseyside, registered 35 in the same period. Six people have been arrested for money laundering in connection with the wide-ranging inquiry and released on police bail. The Department of Work and Pensions and Revenue & Customs refused to confirm whether they were investigating the matter.

 

[Oscarmax]

I have recently ordered a new motorhome, my dealer convinced me I was entitled to VAT exemption because I use a mobility scooter, all I would need is a letter from my GP confiming my disability.


:Angry:To cover my back, I have taken all my letter of correspondance (including order form) to my local inland revenue office and asked them for a decision, as I have liitle faith in my dealer. I now find I am NOT entititled to the VAT exemption.

My order form clearly states *VAT FREE*.

(a) Am I tied into the contact, I believe I have been mislead.
(b) Will I have to pay the VAT.
(c) Does the dealer have to honour the contract.

I have raised in writing three times with my dealer, these have been ignored, I am not looking to gain from the situation, and would be happy with my deposit back.

The dealer has clearly been made aware I substained a severe brain injury, I would suggest I have been had.

 

[Peter JohnsCross MH]

Hi not being a legal eagle I would comment as follows:

Dealer brought up the subject of VAT free status, you didnt, you signed the order on the proviso that it would be VAT exempt and no doubt stated a figure for the sale

He gave you a Sales Order stating Vat Free, he also signed it, was there any stipulation as to what would happen if you were not able to claim Vat exemption status?

If there isn't he should fulfill his part of the contract:thumb:

I would not like to be in his shoes, but then we would never place ourselves in such a situation.

Peter

 

[Oscarmax]

Dealer brought up the subject of VAT free status, you didnt, you signed the order on the proviso that it would be VAT exempt and no doubt stated a figure for the sale.

(a) Yes the order clearly state *VAT FREE* L.L. I have asked the dealer what L.L. means,
(b) I asked why we have been charged the full price including VAT for the upgrades
(c) I asked what the ilegible sribble was on the top lefthand corner of the order was, he explained it was nothing to do with him.
(d) I finally asked them why when I total the figure up, even with my brain injury, why they dont add up, again nothing to do with him.
(e) I also questioned the VAT eligability, opp he was not a happy bunny.

I have been told to stop worrying, I have signed a contract, they carryout 30 plus a year with no problems and they would be writting to me.

Obviously I am NOT going to name the dealer

 

[Peter JohnsCross MH]

The VAT element on the extras, depending on what they are may be correct.

But be warned if the VAT people deny your claim, you could become liable to pay the VAT as the dealer could rely on the information that you gave him as a reason for supplying VAT free.

The only way is for you or the Dealer is to get it in writing from the VAT Office that you are eligible.

I would suggest that you walk away if in any doubt, in fact RUN.

Peter

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[Oscarmax]

No stipulation on the document regarding if I was not entitled to VAT exemption. Small point, the dealer did NOT sign the agreement, there is no provision on the document fro them to sign

 

[old-mo]

No stipulation on the document regarding if I was not entitled to VAT exemption. Small point, the dealer did NOT sign the agreement, there is no provision on the document fro them to sign

Hi again.

I think, I may be wrong, but with no facility for the dealer to sign the onus would come back on you..

My only suggestion is if you can pay the full asking price or whatever you have agreed, and if you are really keen on that particular vehicle is like me try and fight the VAT implications after.

I have been told by an accountant that if you have not had from a dealer written proof that you are because of your disability entitled to VAT relief,, you are liable and they can claw back the VAT.

It may be worth having a word with the C.A.B. in your area and see if they have any advise regarding getting your deposit back.. And If you can purchase from one of the members on this site who will guide you. I have the web site of one such guy who through various correspondences would trust.

It`s a shame that such an enjoyable thing such as buying a M.H should turn out to be a nightmare.

 

[Oscarmax]

Old Mo

I took you advice, as yes you are 100% right.

I contacted CAB and Trading Standards, I have 2 options,

(a) still have them motorhome, dear will stand the VAT and comfirm this in writting.
(b) or have my deposit back.

Looks like I am having a new motorhome. :thumb:

Thanyou Old Mo

 

[old-mo]

Great to hear "Oscarmax"

A Win, Win situation,,

Enjoy your new MH,, Hope to meet you one day.. :thumb:

 

[Oscarmax]

Old-mo

I have some good news from the VAT office, they have said YES:thumb:. I had previously written to them explaining my medical conditions including access to my medical reports/records.

This morning they interviewed me on the phone, asking questions as regards the adaptation that would be required to enable me to drive/use the motorhome safely. They will be forwarding the above in writing, but most important, outline the adaptation required to the motorhome for VAT exemption.

if you need any help or feedback regarding your case I would be more than happy to help.

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[old-mo]

Get`s even better for you .. :thumb::thumb:

I have pm`d you..

 

[Peter JohnsCross MH]

Old-mo

I have some good news from the VAT office, they have said YES:thumb:. I had previously written to them explaining my medical conditions including access to my medical reports/records.

This morning they interviewed me on the phone, asking questions as regards the adaptation that would be required to enable me to drive/use the motorhome safely. They will be forwarding the above in writing, but most important, outline the adaptation required to the motorhome for VAT exemption.

if you need any help or feedback regarding your case I would be more than happy to help.

Hi,

Well worth the FREE subscription, spread the word about FUN :thumb:

 

[Oscarmax]

Hi,

It has been covered before I am sure, be very carefull as there are quite a few salesmen about who will push this aspect and you will end up in a very difficult situation.

It is NOT as simple as they make it out to be, fitting a grab handle does not qualify and making false declarations is very dodgy.

HM Customs have tightened up considerably over this exemption.

Regards

Peter

I have finally recieved written conformation as to the disabled modifications to my new motorhome as agreed ? (not by me), Fiamma Arm :Angry: Dodgy or what

Fortunately, I have written eligibility from VAT Custom.

 

[subaru]

IF a dealer has a VAT inspection and found that some of the vehicles he has sold are not allowed to be zero vat rated, the inland revenue will collect the money from the dealer but can the dealer claim the money back from the customer?

 

[Geo]

I suspect that the answer is yes, he will be able to claw back from you, any vat he has to pay. because if the Vat man deems the declaration false and askes for the vat back from the dealer,
It was you who made the false declaration by signing the forms. ergo you now owe thet dealer the Vat
and you can only hope that it is seen as an honest mistake and no prosecution follows
Geo

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