When it comes to VAT customer gifts, it can sometimes be difficult to know what is considered eligible. As a general rule, any promotional item that can be considered a business gift can be subject to VAT reclaim. This can include items such as pens, T-shirts and key-rings branded with your company logo. On the other hand, gifts that are considered benefits in kind cannot be subject to VAT recovery. These include concert tickets, invitations to sporting or cultural events, or business trips. As a general rule, it's best to consult an accountant or tax expert on all matters relating to VAT client gifts.
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