A number of different types of goods relating to “needy people” qualify for relief.

Basic necessities for needy people

These are goods to be distributed free of charge to meet the immediate needs of needy people: food, medicines, clothing, blankets, orthopaedic equipment and crutches.

Goods to be used or sold at charity events for the benefit of needy people

Most goods used or sold at charity events qualify for relief provided that:

• the charity events are run to raise funds for the benefit of needy people;
• the charity events are normally not held more than four times a year by any one organisation;
• the goods were received free of charge from a person or organisation established outside the EU Customs Union; and
• there was no commercial intent on the part of the donor.

Equipment and materials to help run an organisation to benefit needy people

Service industry machines, tools and equipment, office materials, and fixtures and fittings qualify for relief provided they are received:

• free of charge from outside the EU;
• without any commercial intent on the part of the donor; and
• solely to help run the organisation and carry out charitable and philanthropic aims for the benefit of needy people.

The following goods are not eligible for relief from VAT:

• alcoholic products, including alcohol-based perfume;
• tobacco and tobacco products;
• coffee and tea;
• motor vehicles other than ambulances; and
• items associated solely with worship such as statues and pulpits.

HMRC may limit the quantities or kinds of goods imported to avoid any abuse or distortion of competition.