Change to the VAT treatment of medical services carried out by non-registered staff directly supervised by pharmacists
Published 2 May 2023
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This publication is available at https://www.gov.uk/government/publications/revenue-and-customs-brief-5-2023-change-to-the-vat-treatment-of-medical-services-carried-out-by-non-registered-staff-directly-supervised-by-pharmac/change-to-the-vat-treatment-of-medical-services-carried-out-by-non-registered-staff-directly-supervised-by-pharmacists
Purpose of this brief
The government announced at Spring Budget 2023 that the VAT treatment of medical services carried out by staff directly supervised by pharmacists will be exempt from VAT from 1 May 2023.
This brief explains:
- the change to the VAT treatment of services directly supervised by pharmacists
- where businesses can find more information
The change has no impact on medical services that already qualify for VAT exemption.
Who needs to read this
Pharmacies, pharmacists, and tax agents advising on VAT.
Background
Under current VAT legislation, supplies of medical services made by certain registered health professionals are exempt from VAT. The exemption extends to non-registered staff providing medical services directly supervised by registered health professionals.
Services provided by pharmacists are also exempt. However, the exemption does not currently include services carried out by non-registered staff directly supervised by pharmacists.
Extending the VAT exemption to include services carried out by non-registered staff directly supervised by pharmacists will bring the VAT treatment of pharmacists in line with other registered health professionals providing medical services to the public.
Effective Date
The change will take effect from 1 May 2023 and will apply to services supplied on or after that date that meet the condition.
More Information
Find out more information on the VAT liability of Health professionals and pharmaceutical products (VAT Notice 701/57).
This notice will be updated to clarify that services directly supervised by pharmacists are now exempt from VAT.