VAT or no VAT?

ITEMS ON WHICH THERE IS NO VAT TO RECLAIM

• the purchase of motor cars
• business entertainment
• goods bought under one of the second-hand schemes
• purchases for personal or private use
• purchases for non-business activities
• private accommodation for directors (but not hotel accommodation when away on business).

Specific examples

• books and technical manuals
• customer entertaining (but staff entertaining is OK)
• director’s private expenditure
• insurance
• train, bus and airfares
• Royal Mail postage
• takeaway food