Charging VAT on Kid's Sports Camp

LCMont

Hi everyone,

At the moment I am looking into registering for VAT and would really appreciate some help!

I'm going to run sports camps as a sole trader for kids under 18 (6-18year olds). A friend of mine told me I don't need to charge VAT in the cost of the camp as it is something to do with no VAT is charged on goods/services for children. Is this correct? It will make a big difference whether I register for VAT or not as it will determine how competitive I can be in the market with my price ie. if not VAT registered I can charge less.

Next question, I am looking into selling clothing/merchandise associated with these camps. What is the turnover threshold I would have to exceed in which case I would be legally obliged to register for VAT? I know the figures are €37,500 for services and €75,000 for goods but I would be involved in both so not sure how this works!

Thanks in advance for any help!

barneystinson

LCMont wrote: »

Hi everyone,

At the moment I am looking into registering for VAT and would really appreciate some help!

I'm going to run sports camps as a sole trader for kids under 18 (6-18year olds). A friend of mine told me I don't need to charge VAT in the cost of the camp as it is something to do with no VAT is charged on goods/services for children. Is this correct? It will make a big difference whether I register for VAT or not as it will determine how competitive I can be in the market with my price ie. if not VAT registered I can charge less.

Next question, I am looking into selling clothing/merchandise associated with these camps. What is the turnover threshold I would have to exceed in which case I would be legally obliged to register for VAT? I know the figures are €37,500 for services and €75,000 for goods but I would be involved in both so not sure how this works!

Thanks in advance for any help!

http://www.revenue.ie/en/tax/vat/rates/decision-detail-01512.jsp

Summer school / summer camps are exempt from VAT, see the above link, and note the remarks - I'm sure it will apply to all school holidays, not just summer holidays, but I don't know what the siuation would be if they were on evenings or weekends during school term... You would be well advised to just contact your local tax office, ask to speak to the VAT registration section and explain to them exactly what it is you'll be doing; they can then tell you whether or not you need to charge VAT.

(You should also make sure you understand the difference between a VAT exempt activity and a zero rated one... I ain't getting into that here!)

As regards the sale of clothing, you could sell up to 75k before being required to register for VAT (exempt income would not be included in this 75k limit).

LCMont

barneystinson wrote: »

http://www.revenue.ie/en/tax/vat/rates/decision-detail-01512.jsp

Summer school / summer camps are exempt from VAT, see the above link, and note the remarks - I'm sure it will apply to all school holidays, not just summer holidays, but I don't know what the siuation would be if they were on evenings or weekends during school term... You would be well advised to just contact your local tax office, ask to speak to the VAT registration section and explain to them exactly what it is you'll be doing; they can then tell you whether or not you need to charge VAT.

(You should also make sure you understand the difference between a VAT exempt activity and a zero rated one... I ain't getting into that here!)

As regards the sale of clothing, you could sell up to 75k before being required to register for VAT (exempt income would not be included in this 75k limit).

That's a great help! Thank you!

I have another question if that's ok.

I'm looking at running these camps up north as well. Do I need to set-up/fill out anything in order to do this or do I just run the camp and include the figures in my normal accounts? Is there anything else I need to consider?

Thanks again for any help!