VAT & Grant Funding
Hi, Our company has been awarded a capital grant from the council for smarter travel. The grant is for £4,000, we have to post copies of the receipts and then the grant will be paid. We are a VAT registered charity and my manager has asked if, when she is calculating the spend does she include VAT on the purchase's or not, I would say not and we would reclaim them as input tax, so the total grant amount would be exclusive of any VAT. Is this correct???? I have tried to contact the council and await a return call. Any advise would be greatly appreciated. Many thanks.