Assisted Instrument Purchase Scheme

Good News!
Cheaper Purchase of Musical Instruments for Pupils

The Local Education Authority in Kent has been working with Customs and Excise, Kent Music and others to identify a way of reducing the cost of purchase of musical instruments for pupils in receipt of music tuition. We are pleased to say that we have now agreed a scheme which schools can operate with immediate effect. The Local Authority has written to all the schools advising them of the scheme, so your school should be aware of the details.

N.B. Head Teachers are under no obligation to operate the scheme and the school may be responsible for repaying any VAT that has been relieved incorrectly.

Details of the scheme are set out below.

Assisted Instrument Purchase Scheme

This scheme allows instruments to be purchased on behalf of a pupil/parent through the school without the addition of VAT, provided the pupil is receiving music tuition which takes place on the premises of the school purchasing the instrument. The school may use any VAT registered supplier to obtain new instruments under the scheme. Please note that recovery of VAT on second hand instruments may not be possible.

Schools should note that as long as the instrument is used regularly for tuition given on school premises by someone approved by either the LEA or school the scheme may be applied. It is not restricted to tuition that is curriculum based and may also be applied in other areas such as grade examinations. As a result, parents can take advantage of the scheme regardless of whether they are paying for the tuition directly or through the school. This covers pupils using Kent Music or Licensed Music Teachers.

Procedure

• The details of the instrument required and the tuition arranged, should be provided to the school, by the parent. The instrument should only be of a necessary standard taking into account the attainment of the pupil.
• The parent should commit to the purchase of the musical instrument by placing a minimum 25% deposit with the school when the order is requested.
• Before taking any further action, the school should ensure the tuition has been arranged with a KCC or school approved provider.
• Once the school is satisfied, they may place an order with a supplier.
• The supplier should arrange for the instrument to be delivered to the school address. The hand over of the instrument to the pupil must take place on school premises. The supplier must submit a valid tax invoice addressed to the school. Under no circumstances should the parent pay any money directly to the supplier.
• The school should pay the supplier, ensuring the payment is correctly recorded in the school accounts to enable recovery of the VAT.
• The school is responsible for recovering the outstanding balance owed by the parent.
• Schools may be required to provide details of VAT recovered on these purchases to enable the Authority to calculate a VAT Partial Exemption figure.