On the ninth day of Christmas….

- Christmas is a great time to catch up friends and family for dinner. When you’ve been slaving over a hot stove for a few days, it’s tempting to indulge in a takeaway, but be warned this will carry VAT. Better to cook something at home. Looks like it’s turkey curry after all then!

- Charities and VAT-exempt businesses, which are unable to recover VAT costs on purchases, will be hardest hit.  Be aware that your budgets will stretch 2.5% less far in 2011 than they did this year. If you’re considering making a capital investment, you may wish to consider bringing the purchase forward to benefit from the 17.5% rate.

- If you are one of the larger charities and have a shop, encourage and sell donated goods, which are VAT free.  Goods that are bought in for resale will be subject to VAT; but don’t forget that books and children’s clothing are VAT free!