VATEDU40700 - Group 6 Item 2 Private tuition and tutorial colleges: tutorial colleges
What are tutorial colleges?
Tutorial colleges (sometimes called ‘crammers’) are institutions that specialise in preparing students for examinations, usually provided by an Examination Board, professional body or recognised provider of professional qualifications. Crammers normally but not always operate on a commercial basis for profit and as such will not usually qualify as eligible bodies under item 1 of Group 6 of Schedule 9 of the VAT Act 1994 (VATEDU15000).
Liability of supplies
The education that tutorial colleges provide is unlikely to meet the requirements for exemption as private tuition.
Even where a sole proprietor operates the tutorial college, he or she will usually employ or engage others to help deliver the tuition. Where this happens, the sole proprietor may opt to exempt the tuition he or she personally delivers, whilst treating as taxable the tuition carried out by other people. See VATEDU40400.
Teachers teaching in their own capacity
In some tutorial colleges each teacher may be contracted to teach in their own capacity direct to pupils. In that case their supplies are exempt. You should examine contracts to establish the true position.