Third Sector reports:
A Liberal Democrat MP is campaigning to win exemptions from fuel tax and VAT for mountain and cave rescue teams. Tim Farron, the party’s MP for Westmorland and Lonsdale, wants the coalition government to provide rescue teams with a VAT refund each year – a policy that was part of the Liberal Democrat manifesto.
“We’re hopeful,” said a spokesman for Farron. “We’re still awaiting a response from the Treasury, but this is something we can make a strong case for. These are emergency services, and they should be treated differently.”
Andy Simpson, a volunteer with Mountain Rescue, said that mountain and cave rescue teams in England got no government funding and paid about £200,000 a year in tax, mostly on fuel and essential equipment. The RNLI does not pay VAT on similar supplies, although it does pay tax on other expenditure.
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4 Comments
I wish Tim good luck with this – many years ago Mountain Rescue in Wasdale saved me from at least a night on a very small crag and at worst death. They are the best example of Big Society you could imagine! If this concession is there in part for the RNLI then it should be there for the Mountain Rescue. I do not want to open this up to all charities, despite being a charity manager myself, but what about the Air Ambulance?
As I recall, Labour tabled an amendment to the budget bill calling for just this exemption, but it was turned down by the coalition – despite the fact that, as you rightly say, it was a LibDem manifesto commitment.
John, you recall wrong – Labour put forward a completely unrealistic amendment to exempt all charities from the VAT rise. Tim’s campaign is quite different as he is trying to exempt this very small category of charities from ALL VAT and fuel duty. Our manifesto did not propose a lower rate for all charities. It said (on page 83), “Liberal Democrats will .. Refund VAT to mountain rescue services.”
Charities shouldn’t be exempted from VAT. Great timing as the coalition launches a cmapign to simplify the tax system and the “big society” where everyone is so busy volunteering and being philantropic that charties get on with things without turning to the state for a handout.