Value Added Tax Act 1994 section 94

Meaning of "business" etc.

Section 94 defines the meaning of "business" for VAT purposes and clarifies which activities are treated as being carried on in the course or furtherance of a business.

• The term "business" is broadly defined to include any trade, profession or vocation, and extends to clubs, associations and organisations that provide facilities or advantages to members for a subscription or other payment, as well as the admission of persons to premises for a charge.
• Where a person accepts an office in the course of their trade, profession or vocation, any services they supply as the holder of that office are treated as supplied in the course of that trade, profession or vocation.
• Any actions connected with the termination or intended termination of a business are treated as being done in the course or furtherance of that business, so VAT obligations continue through the wind-down period.
• The disposal of a business as a going concern, or the disposal of its assets or liabilities — whether or not in connection with a reorganisation or winding up — counts as a supply made in the course or furtherance of the business.