Scotland: Charities urged to plan early for VAT as the Capital Goods Scheme threshold rises from £250,000 to £600,000 from 29 July 2026. The change reduces the number of projects requiring decade-long monitoring, easing administrative burden for charities and third-sector organisations.
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Key Takeaways
From 29 July 2026, the Capital Goods Scheme threshold in Scotland rises to £600,000 for charities and third-sector organisations.
The new threshold takes effect from 29 July 2026 in Scotland.
Projects costing below £600,000 are exempt from decade-long CGS monitoring for charities and third-sector organisations from 29 July 2026.
The increase means many smaller and medium-sized property projects no longer require ongoing CGS monitoring, reducing VAT recovery adjustments for charities from 29 July 2026.
Primary source
Read the full article at Scottish Financial NewsThis summary was published on VATfaqs.com on 28 July 2026. It relates to VAT developments in United Kingdom. The original source is Scottish Financial News.
