Commons Sense

House of Commons · Ministers' Questions

Taxation: People with Disabilities

Wednesday 10 February 2021 · 2 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 0 Partly answered 2 Not answered 0

Key points

  • The Government recognise it is important that the tax system treats people fairly and consistently, while also raising revenue for public services.
  • My hon. Friend raises an important point. The Government ensure that the supply of health and welfare services, including opticians and eye tests, are exempt from VAT, which ensures that VAT is not a barrier to accessing medical treatment.
  • Moreover, in addition to NHS complex lens vouchers, the Government provide tax-free welfare benefits for those who have extra costs associated with their disability.

Topics (select to filter)

Questions & Answers

Q1 Lia Nici
Taxation Benefits & Welfare
Context

The question addresses the concern that the current taxation system may disproportionately affect people with disabilities.

Question

What recent discussions has the Minister had with the Chancellor of the Exchequer on ensuring that the tax system does not discriminate against people with disabilities?

Answer from Kemi Badenoch (Parliamentary Under-Secretary of State for Women and Equalities, The Rt Hon Kemi Badenoch)

The Government recognise it is important that the tax system treats people fairly and consistently, while also raising revenue for public services. We provide tax-free welfare benefits for those who have extra costs associated with their disability, including disability living allowance, personal independence payment and attendance allowance. We have also made available several VAT zero rates for the purchase of certain equipment and appliances designed solely for use by a disabled person, such as the VAT zero rate for the leasing of vehicles through the Motability scheme.

Partly answered

Not addressed: The Minister did not address specific recent discussions with the Chancellor on ensuring fair treatment in the tax system for disabled individuals.

How: The Minister'S Response Was More About General Policies Rather Than A Direct Discussion With The Chancellor

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Q2 Lia Nici
NHS Taxation
Context

The question addresses concerns about VAT being applied to essential items such as corrective glasses, specifically mentioning a constituent with sight disabilities.

Question

I have been contacted by a constituent who is visually impaired and needs expensive corrective glasses annually, on which she has to pay VAT. Does the Minister agree that it is not fair that the greater a person's sight disability, the greater the tax they pay? Will she agree to discuss with the Treasury that as glasses are an essential item for my constituent, they should not be taxed as a luxury?

Answer from Kemi Badenoch (Parliamentary Under-Secretary of State for Women and Equalities, The Rt Hon Kemi Badenoch)

My hon. Friend raises an important point. The Government ensure that the supply of health and welfare services, including opticians and eye tests, are exempt from VAT, which ensures that VAT is not a barrier to accessing medical treatment. Moreover, in addition to NHS complex lens vouchers, the Government already offer support for individuals to help with the cost of glasses through NHS optical vouchers. Those eligible for help include children and those on certain income-related benefits, and the value varies from £39 to £215 depending on the level of the patient's prescription. However, I will write to my hon. Friend with full details so that she can assist her constituent.

Partly answered

Not addressed: The Minister did not directly commit to discussing VAT exemptions for corrective glasses with the Treasury.

How: The Response Focused On Existing Support Mechanisms Rather Than Committing To Specific Discussions

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