leaflets - legal definition

[D Stanley]

What is the legal definition of a leaflet. We are going to be having several thousand A6 cards printed for distribution. One printer has quoted a price with vat and another has quoted without. Wheb we asked him for clarification he told us that leaflets are vat free.

So is there a firm definition of what a leaflet is for vat prposes?

[Alanq]

Depends what you use the leaflet for, if it's used for admission, to give a specific discount or has an area to be written on then it's VAT-able otherwise it's exempt.
Full blurb here
http://customs.hmrc.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?_nfpb=true&_pageLabel=pageHome_ShowContent&id=HMCE_CL_000102&propertyType=document

[D Stanley]

Many Thanks

[anonymous-user]

If the item contains an order form etc then this must not cover more than 25% of the printed item in order to remain free of VAT.

VAT on printed matter is a nightmare. Half the time the experts aren't even sure, When I say experts I mean the revenue as opposed to printers! We are experts only in finding excuses as to why your job is late!

[Eric Mc]

Leaflets, flyers, maps etc (i,e single sheet printed items)all cause VAT problems. The main reason for this is because of the blanket Zero rating on books. Therefore maps are standard rated but atlases are zero rated.

VAT really is the most pedantic of all taxes - purely because of the necessity to define what falls into Standard, Zero or Exempt categories.

[wanty1974]

Davros81 said:

If the item contains an order form etc then this must not cover more than 25% of the printed item in order to remain free of VAT.

I believe the term is 'returnable portion' (i.e. a bit you send back). 25%+ = VAT

...from the horses mouth... http://customs.hmrc.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?_nfpb=true&_pageLabel=pageVAT_ShowContent&id=HMCE_CL_000102&propertyType=document

[steviebee]

Worth noting that the printing is VAT exempt but the design and artwork costs aren't.

[Eric Mc]

Be careful with your use of the word "Exempt" when referring to VAT matters. Do not say "Exempt" when you might mean "Zero Rated". This is not me being pedantic. It is a vitally important distinction and I've seen one business suffer a VAT clawback of almost £30,000 because they didn't appreciate the difference.

[steviebee]

Eric Mc said:

Be careful with your use of the word "Exempt" when referring to VAT matters. Do not say "Exempt" when you might mean "Zero Rated". This is not me being pedantic. It is a vitally important distinction and I've seen one business suffer a VAT clawback of almost £30,000 because they didn't appreciate the difference.

Duly noted!