# Changes to "eligible body" for VAT exemption for cultural organisations

- Link: https://fundraising.co.uk/2003/12/11/changes-quoteligible-bodyquot-vat-exemption-cultural-organisations/
- Published: 2003-12-11T00:00:00+00:00
- Author: Howard Lake

HM Customs & Excise has now recognised that ‘voluntary’ in UK law means ‘essentially
voluntary’. As a result more cultural organisations may become eligible bodies and
therefore not charge VAT on admission fees, and others may be able to reclaim VAT
already charged.
The redefinition of ‘voluntary’ comes after The Zoological Society
of London (“London Zoo”), won its case at the European

Court of Justice (ECJ) which ruled on the UK’s interpretation of the words “managed
and administered on an essentially voluntary basis” in EC VAT law.

Admission to museums, galleries, art

## Advertisement

exhibitions, zoos, theatrical, musical or choreographic performances of a cultural
nature are exempt from VAT when supplied by an “eligible body”. London Zoo was originally
deemed ineligible because some of its staff were paid. The ECJ drew a distinction
between the taking of key policy decisions and the implementation of them.

As a result of this ruling, Customs are revising their policy and will this month
be publishing an updated Public Notice 701/47 ‘Culture’ (December 2003) . Cultural
bodies that think they now qualify as an eligible body and wish to make a claim 
for overpaid VAT in respect of past periods may do so.

 * **[Co-op Bank's Community Directplus makes first donations](https://fundraising.co.uk/2003/12/18/coop-bank039s-community-directplus-makes-first-donations/)**(
   18 December 2003)
 * **[New name for CAF's Common Investment Funds](https://fundraising.co.uk/2003/12/31/new-name-caf039s-common-investment-funds/)**(
   31 December 2003)
 * **[NSPCC uses Alliance & Leicester's online donations service](https://fundraising.co.uk/2004/01/14/nspcc-uses-alliance-amp-leicester039s-online-donations-service/)**(
   14 January 2004)