The supply of education by the University of Bath is exempt from UK Value Added Tax (VAT) because it is an eligible body for purposes of Note 1 to Group 6 of Schedule 9 of the VAT Act 1994.

A supply of education involves the provision of education for a fee.

Education is not defined in legislation. HMRC regard education as meaning a course, class or lesson of instruction or study in any subject, regardless of where and when it takes place. Education includes lectures, educational seminars, conferences and symposia together with sporting and recreational courses. It also includes distance learning and associated materials. Any separate charge for registration is part of the supply of education.

It is not necessary for a course to lead to any certificate, exam or grading in order to qualify for the VAT exemption, simply that there is instruction. A networking activity, or services which simply facilitate learning, or supervision, for example for safety reasons, where no instruction is offered, or supplies leading to the delivery of education by others which are not education in their own right; are not a supply of education.

It is important to distinguish between conferences provided by the University which have a significant educational content and thus should normally qualify for exemption as opposed to a more general discussion without instruction which would not qualify for VAT exemption under the education exemption.

It is important that a form of instruction is provided to qualify as education and this forms the predominant element of the supply otherwise HMRC could consider that the supply is one of attendance to an event which would ordinarily be subject to VAT at the standard rate