VAT Query

[Colonel]

Does the exerpt below mean that a VAT-registered business should not charge VAT to any of the listed entities? What is your understanding of this?



VAT 404 – Guide for Vendors Chapter 7
Chapter 7 Exempt supplies and miscellaneous

Some examples of exempt supplies include

services provided to members of body corporates, share block companies, retired persons, political parties, trade unions, housing schemes and home-owners associations which are supplied out of levy contributions by such members.

[Andromeda]

The wording in 404 guide is dumb. Possibly Tom wrote it.

Sec. 12(f) of the Act kind of saves the day:
"the supply of any services to any of its members in the course of the management of-
(i) a body corporate as defined in section 1 of the Sectional Titles Act; or
(ii) a share block company, or
(ii) any housing development scheme as defined in the Housing developments Schemes for Retired Persons Act...."