|Download your AIPS form here
ASSISTED INSTRUMENT PURCHASE SCHEME FOR
Music Limited is pleased to announce an Assisted Instrument Purchase Scheme for
Students (AIPSS). This scheme enables students having music lessons at an
LEA-maintained school to purchase musical equipment without paying VAT. Please
be aware that this is a voluntary scheme and not all schools, music services
and authorities will participate.
SOUNDS GREAT… HOW DOES IT ALL WORK?
the parent or pupil has chosen an instrument they notify the school as to their
requirements. The school then adds this item to their order for Zings Music
Limited as if it were a school purchase.
parent or pupil pays the school the ‘excluding VAT’ price for the instrument –
plus any administration charge the school may require.
Music Limited will supply the instrument to the school in the normal way, just
like any order to the school. The school sells the instrument to the student
when it arrives from Zings Music Limited.
school reclaims the VAT on the instrument in the usual way. Local authorities
are refunded the VAT incurred in delivering their non-business statutory
OKAY…SO WHAT’S THE CATCH?
is no catch! As long as the following conditions are met it’s all very simple:
1) The student must attend an LEA-maintained school.
2) The school or LEA must place an order for the
instrument, take delivery and be invoiced for the instrument. The invoice
enables the establishment to recover the VAT.
3) The instrument must be appropriate to the needs and
ability of the student.
4) The instrument must be portable and taken
to school (or LEA premises) on a regular weekly basis for use during lessons
from either the school or the LEA’s education department.
5) The transaction between the student and school (or
LEA) must take place on school (or LEA) premises in a room that is normally
used for teaching.
6) The LEA must sell the instrument to the student at
or below cost.
7) Pupils of independent schools would not ordinarily
be able to benefit from the scheme, unless the student receives regular tuition
from the local authorities music service.
more information be require, this can be obtained from VAT notice 701/30
‘Educational and Vocational Training’ (January 2002). This can be found online