The VAT treatment of Charitable Donations via SMS

Revenue eBrief No. 113/20

The VAT treatment of Charitable Donations via SMS

The guidance in tax and duty manual VAT treatment of Charitable Donations via SMS has been updated to reflect the rules on multipurpose vouchers and to improve readability.

Extract:

1. Introduction
   This guidance sets out the VAT treatment of a donation made to a charity via a mobile phone using SMS short codes. This type of charitable donation is made by sending a text message with a short code specific to the charity. The amount representing the donation is then debited to the individual’s bill or pre-paid phone credit.
   
   Charitable donations are not deemed to be consideration for a supply and are therefore outside the scope of VAT. The provision of telecommunications services is liable to VAT at the standard rate.