Retailer’s special schemes
The retailer’s special schemes are designed to help retailers account for Value-Added Tax (VAT) on their retail transactions. The schemes cater for different classes of retailers with small to large turnovers and relate to sales chargeable at different VAT rates.
The schemes may be used only by retailers who meet all of the following:
- sell goods chargeable at two or more VAT rates
- do not have facilities for segregating receipts at point of sale into the different rates, and cannot reasonably be expected to do so
- sell goods in the form in which they buy them, that is, without applying any further process in their production or manufacture.
Further guidance contains more detailed information on the VAT treatment of the retailer’s special schemes.