VAT raid: HMRC backtracking on – or compensating for – impacts on churches etc.

The government is recognising the scale of the impact of the proposed VAT raid on heritage buildings, as it seeks ways to backtrack the tax take from listed places of worship (LPOW).

Following discussions between the Treasury and the Church of England (CoE) it appears that the Chancellor, recognising the substantial impact the proposals will have on churches and other historic religious structures, will either will either continue the exemption for listed places of worship, or address the impact by increasing funds to the LPOW scheme.

As part of the case made for exempting places of worship, it was pointed out that 45 per cent of Britain’s grade 1-listed buildings are churches.  Anne Sloman, chairwoman of the Church Buildings Council, said that most big renovation projects extended churches for community use.

‘This has absolutely driven a landmine under the [government’s] Big Society,’ she said, arguing that Britain’s 12,500 listed churches were maintained with almost no public money and represented a good deal for the state.

Download the report of the Church Commissioners Questions on 26 April 2012: HERE

For background links see: LINK

See also the report at: LINK

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