The school or college minibus or coach can often be a source of additional funds.

The vehicle can be used in a number of ways:-

  • Hired with driver
  • Vehicle hire (no driver)
  • Charges for journeys

It is important to establish if the supply is simply vehicle hire or if a transport service is provided.

Passenger transport services are only supplied when a minibus or coach that is designed or adapted to carry not less than 10 passengers is provided with a driver for the carriage of passengers.

In any other situation, such as where a minibus is supplied without a driver, it is not a supply of passenger transport services, but the supply of a means of transport. This is also the case for fares to ride in a vehicle that is not designed to carry at least 10 passengers, such as a taxi.

VAT Treatment


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