Ring binders can be 0% or 20% VAT in the UK depending on the job (HMRC VAT Notice 701/10, paragraph 5.2). Supplied with the loose-leaf book or manual it holds, or printed with that book's exact title: 0% VAT. Supplied with forms, stationery or other contents: 20% VAT. A general branded binder (a company name alone isn't enough): 20% VAT.
PRIVATE & CONFIDENTIAL
It could go either way.Let's narrow it down.
Ring binders
It depends
A binder is standard-rated, unless it's made to hold a specific loose-leaf book and has that book's title printed on it.
There are three possible answers and 5.2 keeps them apart cleanly. A binder supplied with the loose-leaf pages that make up a book is part of that zero-rated supply, titled or not. A binder supplied on its own is zero-rated only where it is designed to contain a loose-leaf book and carries the exact title of that book on the outside, and HMRC says plainly that a company name alone is not enough. Everything else, all binders and files for general or office use, is standard-rated, and that includes binders for part works, journals and periodicals whether or not they are titled.
What decides it?
Is it supplied with the book, titled with the book, or neither.
How do I know which VAT rate applies to ring binders?
Supplied with the loose-leaf book or manual it holds, or printed with that book's exact title: 0% VAT. Supplied with forms, stationery or other contents: 20% VAT. A general branded binder (a company name alone isn't enough): 20% VAT.
Where does this come from?
HMRC VAT Notice 701/10, paragraph 5.2, HMRC's guidance on zero rating books and printed matter. See the notices we work from.
Some real jobs
A binder supplied with the loose-leaf manual that fills it0%
Part of the zero-rated supply of the book, whether titled or not.
Replacement binders printed with the manual's exact title0%
The one route 5.2 gives for a binder on its own.
Branded binders for the sales team's paperwork20%
A binder for general or office use, and a company name is not enough.
