There is a way for charities to only pay VAT on a small portion of the postage cost, typically only paying VAT on only 2p per letter, as opposed to paying it on the full 22p.
We now have what is called an open ‘agency agreement’ which will allow us to provide Charities with an almost VAT free postage service. All they need to post is a minimum of 4000 letters in one hit.
The agreement is between FBI Direct and Royal Mail, you do not need to do anything, other than demonstrate that you are a charity and therefore VAT exempt.
We can also offer another solution involving the HMRC pack test, which, with the correct balance of leaflets can results in a 100% VAT free print & pack solution as well.
Could this benefit your non-VAT registered charity organisation?? If so what are you waiting for?
Contact us for more details.